Comment by Brett Menzie on January 19, 2011 at 9:11am

From a non-collection agency view, I am of the opinion that it does not give you a permissable purpose to pull a credit report unless the documents signed at time of service indicate otherwise.

Comment by JJ Hornblass on January 19, 2011 at 9:26am

Brett, in general are credit reports being pulled in efforts related to medical debts today?

Comment by Brett Menzie on January 19, 2011 at 10:21am

@JJ unfortunately I do not know the answer to your question.  I formed my opinion based on my professional finance past.

Comment by Kenny on January 19, 2011 at 8:53pm

In my opinion Insurance not credit history was checked when service was given to the patient.  The credit report oftentimes is checked when a customer applies for a loan. The only case I can think of that someone applied for a loan medically is when they don't like what they are looking at in the mirror and get that plastic surgery. As previously mentioned there better be a signed agreement or the letters FDCPA will introduce itself and you will play ball in the courtroom.

Comment by JJ Hornblass on January 20, 2011 at 9:33am

Thanks, Kenny.

Comment by Jeremy Mapes on January 22, 2011 at 2:50am

Historically, credit reports get pulled and debt created by healthcare debt gets reported as well.  The base is that services were rendered and a balance was due.  That does change in some states.  I think it is wise for medical providers to alter their admission sheets to include the agreement of debt.  As a matter of fact I'd take it to the highest degree allowed by state, including interest base for X days past due (relative to state laws) and the authorization to call anyone in relation to the debt at any number given or found.  Is it required, no.  Does it protect you completely, not necessarily.  But it doesn't hurt. 

 

Always remember why several companies have relocated to China.  It's not the work wages it's the fact that America is currently to litigious.  People sue for no reason, wrong reason, and companies settle no matter how right they are but they have to because it costs less than the fight.  Until we get ourselves a little under control you can be sued for anything.  It's a matter of how you hedge your bets.

 

Check with your attorneys (this is not legal advice, blah, blah, blah, don't smoke crack...) but if you're limiting yourself from pulling CPE or score data on accounts (those processes do create an inquiry on the bureau) for healthcare that's fine but there are agencies that are, they're attorneys (as they tell me) have approved it, the bureaus approve it (they even have a score for healthcare accounts) and they've not been sued on it and they've been in business for decades.  This is nothing new though.  Get on of the big three bureaus to sign off on it so they can cover the lawsuit if you run into issues.

Comment by Jack Gordon on February 2, 2012 at 1:09pm

I would add this to the very valid opinions above...

If the debt was incurred through no premeditated intent of the consumer (i.e. ambulance, emergency room, etc), then it is more troublesome than if it was premeditated (plastic surgery, non-emergency procedures, etc).

Of course, documents and disclaimers signed at the time of service should take precedence over rules of thumb. But if you were to very generally segregate PP cases from PP cases, that is how I would draw the line.

Comment by Eric Boone on February 2, 2012 at 1:12pm

The advice we rec'd from TU was to pull soft inquiries on the medical debt (only the consumer can see) and hard inquiries on other types of debt (anyone can see it was pulled).

 

 

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