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  1. #1
    Join Date
    Jun 2013
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    5

    Default Debt Sent to Collections and Paid, Original Debtor Kept Accepting Payments

    My question involves collection proceedings in the State of: WA

    My wife had incurred several thousands in medical bills. We got about $4k of them paid, but about $3.5k also made their way to collections.

    Many went to the same collection company.

    I was paying off the collection company and the bills that we had received with auto pay from my checking account bill pay.

    One auto pay from my checking account wouldn't send me an invoice showing balance. "Group Health" so I called them today.

    I called them today and they said that they don't send balance letters with accounts that are in collections.

    In the past 6 months, we have paid off all the collections and remaining medical debt, however, I just found out that the Group Health account I was paying on with auto bill pay was one that they had sent to collections 3 weeks before auto bill pay was setup. They continued to collect and cash my checks even though the account that they sent into collections was paid.

    Now they refuse to refund my few hundred dollars that they collected after selling off my account to collections. In fact when I called, she wanted me to pay her more. They sent $600 of the remaining bill to collections, I paid that off in collections. However, I continued to pay on their $600 balance to GHC as I didn't know this was one that was in collections.

    So in short, do I have the right to collect the monies paid to GHC since they sent the account to collections? Turns out that I have nearly double paid that bill, one to collections and one to GHC who sent it to collections.

  2. #2
    Join Date
    Jan 2006
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    38,734

    Default Re: Debt Sent to Collections and Paid, Original Debtor Kept Accepting Payments

    When you say it was sent to collections, do you mean they hired a collections agency to attempt to collect the debt for the original provider or do you mean they sold the debt to a debt buyer who the actions to collect the debt.?

  3. #3
    Join Date
    Jun 2013
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    5

    Default Re: Debt Sent to Collections and Paid, Original Debtor Kept Accepting Payments

    I wasn't aware that there was a difference. It was everprof.com A collection company for Medical organizations. A clue might be that the other companies that sent the bill to the same provider told me that they sent the bill to collections and I had to pay them. I did Pay EverProf in full and paid off all debts owed to them, so GHC should have been considered paid off, but GHC kept collecting my payments and cashing them.

  4. #4
    Join Date
    Jan 2006
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    38,734

    Default Re: Debt Sent to Collections and Paid, Original Debtor Kept Accepting Payments

    of course there is a difference. In the first situation, the hospital remains the creditor. The collection agency is merely a company hired to attempt to collect their money. In the latter, the hospital no longer has anything to do with the situation. The successor creditor is the entity that purchased the debt. So, do you have any idea which situation it is?

    also, it appears there was more than one debt involved even though it was owed to the same entity., Could you explain that situation a bit more as well?

  5. #5
    Join Date
    Jun 2013
    Posts
    5

    Default Re: Debt Sent to Collections and Paid, Original Debtor Kept Accepting Payments

    There were a total of 4 debts involved, all from different originating medical facilities.

    I paid all 4 off. The collection agency applied payments evenly across all debts they acquired until they were all paid in full.

    My auto bill pay at my bank I had setup to send automatic payments thinking that it (GHC) wasn't in collections as of yet (keeping in mind that we had like 2-6 bills coming from each health provider). Payments sent to GHC did not get credited to the collection agency balance. When I called GHC to get a balance today, they said there is no balance and that the bill was sent to collections, but it appears that she also was applying my payments to their written off debt of mine and wanted me to finish paying their written off debt sent to the agency which is then being twice collected now.

  6. #6
    Join Date
    Jan 2006
    Posts
    38,734

    Default Re: Debt Sent to Collections and Paid, Original Debtor Kept Accepting Payments

    I'm sorry but it still isn't clear to me. Charging off a debt has no real meaning to the debtor. It is an accounting action taken by the creditor and involves their tax issues. It does not mean they have cancelled the debt, which is a different issue altogether.


    they said there is no balance and that the bill was sent to collections,
    does that mean they sold it to the debt buyer/collection agency or they sent it to the CA merely so the CA would take action to collect on the GHC owned debt?
    If you owed money to GHC, then there is nothing to recoup from them. If more money was actually taken than you owe them, whether it be held by them or referred to or sold to a CA, then somebody owes you some money. You will have to find out if the debt was sold or simply referred out. If the debt was sold, then GHC owes you money because they no longer owned the debt and as such, had no right to collect on it. If they simply referred it for collections, either the CA or GHC could repay the over payment.


    As I said though, I am still not clear who you owed what and if any of the debts were actually sold or simply referred out for collections.

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