Medical Debt Collection-Settle now?

[Cliff2009]

I have over $10,000 in various medical debts now with IC Systems. Two of the largest, over half will be past the collection statute of limitations in six months. I would like to start making a settlement with them but should I wait until the two large debts are past the SOL? Or just make a lower offer on all now? What will help my credit the most?

Thanks

[LaneBlane]

If you accept a settlement offer, agree to pay off some of the debt, or even acknowledge you owe a debt, the SOL clock will reset.  If you have multiple accounts with IC Systems, they can easily say any conversations, settlement negotiations, or payment agreements blanketed all accounts.  This would reset the SOL on everything.

I would recommend sitting tight and allowing (hopefully) the SOL to pass on the two largest accounts in six months.  It's possible you're off IC Systems' radar.  The last thing you want to do is poke a sleeping bear.

When is the last time you heard from IC Systems by phone or mail?

[BV80]

5 hours ago, LaneBlane said:

If you accept a settlement offer, agree to pay off some of the debt, or even acknowledge you owe a debt, the SOL clock will reset.  If you have multiple accounts with IC Systems, they can easily say any conversations, settlement negotiations, or payment agreements blanketed all accounts.  This would reset the SOL on everything.

I would recommend sitting tight and allowing (hopefully) the SOL to pass on the two largest accounts in six months.  It's possible you're off IC Systems' radar.  The last thing you want to do is poke a sleeping bear.

When is the last time you heard from IC Systems by phone or mail?

No, IC Systems cannot say any conversations, settlement negotiations, or payment agreements blanketed all accounts and reset the SOL on every account it may have in a debtor’s name.  Each debt is its own contact.  Collection agencies cannot change that.

In regard to what resets the SOL, here is the Utah code.

78B-2-113.  Effect of payment, acknowledgment, or promise to pay. 

(1)An action for recovery of a debt may be brought within the applicable statute of limitations from the date:

(a)the debt arose;

(b)a written acknowledgment of the debt or a promise to pay is made by the debtor; or

(c)a payment is made on the debt by the debtor.

Settlement negotiations alone without a promise to pay or a written acknowledgment of the debt will not reset the SOL.

[Cliff2009]

9 hours ago, LaneBlane said:

If you accept a settlement offer, agree to pay off some of the debt, or even acknowledge you owe a debt, the SOL clock will reset.  If you have multiple accounts with IC Systems, they can easily say any conversations, settlement negotiations, or payment agreements blanketed all accounts.  This would reset the SOL on everything.

I would recommend sitting tight and allowing (hopefully) the SOL to pass on the two largest accounts in six months.  It's possible you're off IC Systems' radar.  The last thing you want to do is poke a sleeping bear.

When is the last time you heard from IC Systems by phone or mail?

They have been calling of late but they asked for my SS#. I said I don't give that to random callers. They said to call the OC. 

[Cliff2009]

4 hours ago, BV80 said:

No, IC Systems cannot say any conversations, settlement negotiations, or payment agreements blanketed all accounts and reset the SOL on every account it may have in a debtor’s name.  Each debt is its own contact.  Collection agencies cannot change that.

In regard to what resets the SOL, here is the Utah code.

78B-2-113.  Effect of payment, acknowledgment, or promise to pay. 

(1)An action for recovery of a debt may be brought within the applicable statute of limitations from the date:

(a)the debt arose;

(b)a written acknowledgment of the debt or a promise to pay is made by the debtor; or

(c)a payment is made on the debt by the debtor.

Settlement negotiations alone without a promise to pay or a written acknowledgment of the debt will not reset the SOL.

They list all line items in one letter, with the total. Should I try and negotiate by line item? Would I be better talking with the OC?

Thanks 

 

[nobk4me]

@Clydesmom is the expert here on medical debt.  Maybe she has some advice?

[BV80]

5 hours ago, Cliff2009 said:

They list all line items in one letter, with the total. Should I try and negotiate by line item? Would I be better talking with the OC?

Thanks 

 

Are they all with the same medical provider?

[Cliff2009]

I checked a couple of the line items and it looks like the date reported by the CA is about 8 months after the date of service by the OC. So it looks like some of them are SOL it is based on date of service date. 

[Clydesmom]

56 minutes ago, Cliff2009 said:

I checked a couple of the line items and it looks like the date reported by the CA is about 8 months after the date of service by the OC. So it looks like some of them are SOL it is based on date of service date. 

Please list the date of service and the amount of each debt for me.

Also:  is the provider a state hospital i.e. University of Utah (just an example may not exist).  

Were you insured at the time of service and is this debt your out of pocket expense or deductible?

[Cliff2009]

On 11/18/2021 at 3:32 PM, BV80 said:

Are they all with the same medical provider?

Yes.

[Cliff2009]

On 11/18/2021 at 4:39 PM, Clydesmom said:

Please list the date of service and the amount of each debt for me.

Also:  is the provider a state hospital i.e. University of Utah (just an example may not exist).  

Were you insured at the time of service and is this debt your out of pocket expense or deductible?

I'm trying to find the DOS for the older ones but from what I can see with ones that are 3-4 years old, the DOS was 8 months prior to the reporting date. 

So what I can figure the largest ones $2,800 and $1,100 have a DOS around 11-2015. These are all with IHC. 

I was insured but with a high deductible plan. 

[LaneBlane]

On 11/18/2021 at 5:40 AM, BV80 said:

No, IC Systems cannot say any conversations, settlement negotiations, or payment agreements blanketed all accounts and reset the SOL on every account it may have in a debtor’s name.  Each debt is its own contact.  Collection agencies cannot change that.

If more than one account involves the same medical center, hospital, or physician, they could try.

[BV80]

24 minutes ago, LaneBlane said:

If more than one account involves the same medical center, hospital, or physician, they could try.

Yes, they could try but only if the date of services is the same.  The SOL begins on the date of service.  If one service was rendered on a particular date then another 3 months later, that does not extend the SOL of the service rendered on the earlier date.

[LaneBlane]

38 minutes ago, BV80 said:

Yes, they could try but only if the date of services is the same.  The SOL begins on the date of service.  If one service was rendered on a particular date then another 3 months later, that does not extend the SOL of the service rendered on the earlier date.

A collection agency may have invoices that involve different dates of service, all from the same medical center, doctor, etc.   As a result, if a consumer contacts the collection agency to make a settlement offer, it could involve multiple invoices lumped together.

[Clydesmom]

On 11/20/2021 at 4:40 PM, Cliff2009 said:

I'm trying to find the DOS for the older ones but from what I can see with ones that are 3-4 years old, the DOS was 8 months prior to the reporting date. 

So what I can figure the largest ones $2,800 and $1,100 have a DOS around 11-2015. These are all with IHC. 

I was insured but with a high deductible plan. 

Okay, because you filed through insurance that means the provider cannot discount what is owed as it would be illegal rebating.

The hard part of settling these is that you want to make sure that the money you pay is applied to the correct debt.  I would start by meeting with the supervisor or manager of billing for the provider.  It is possible by speaking to them you can work out a plan to settle some of the smaller ones in full while applying additional funds in a payment plan to pay off the 2 larger ones over time while they pull the account back from IC Systems.  Under NO circumstance would I pay IC.  I had to sue them and won but cannot discuss the case.  They are a bottom feeder and should be shut down.  

DO NOT pay any money until you have all terms in writing.

[BV80]

1 hour ago, LaneBlane said:

A collection agency may have invoices that involve different dates of service, all from the same medical center, doctor, etc.   As a result, if a consumer contacts the collection agency to make a settlement offer, it could involve multiple invoices lumped together.

It could lump them together, and if the consumer agrees in writing to pay the lump sum, the SOL would be reset on each one. But debts that are already outside the SOL would not be revived unless the consumer agreed in writing to pay them or perhaps went ahead and made a payment toward the time-barred debts.

Collection agencies cannot change the law.  If a debt is time-barred, only certain actions can revive the SOL.  Lumping invoices together is not one of those actions.  Doing so does not change the date of service that started the SOL.  This is where consumers must be diligent in finding out exactly what a lump sum settlement includes.