Consumer complaint received 2019-08-30
Company: Receivables Management Corporation
State: SC
Product: Debt collection
Sub-product: Medical debt
Issue: Written notification about debt
Sub-issue: Didn't receive enough information to verify debt

Complaint:
To Whom It May Concern : I received a letter in the mail dated XX/XX/2019 from Receivables Management Corporation regarding an alleged {$2700.00} debt. I responded with a letter dated XX/XX/2019 sent returned receipt where they signed for it on XX/XX/2019. In this letter I advised them that I disputed this debt because I have never done business with them and for them to cease and desist contacting me and to not place derogatory information on my credit report. I later noticed that they placed accounts on two of my credit files ( XXXX XX/XX/2019, and XXXX XX/XX/2019 ). I wrote them a second ( 2nd ) time on XX/XX/2019 which I sent certified return receipt which they signed for on XX/XX/2019. I reminded them again of my previous letter and that they have now violated Federal laws by placing unverified debt on my credit file as well as failing to place a dispute notice of said debt within the 30 day timeframe from when I first disputed the debt back on XX/XX/2019. Therefore, I demanded that they remove the item entirely from my credit file, otherwise I will be filing formal complaints with your Consumer Financial Protection Bureau, the Federal Trade Commission, and the Attorney Generals office. I also advised that I would file a small claims lawsuit against them if they continue to ignore my complaint and not remove the item. They have yet to respond to me so I wrote directly to XXXX XXXX XXXX on XX/XX/2019 which I sent certified return receipt which was signed for on XX/XX/2019 where I disputed the debt again and asked them to send me information they received which verifies and validates this alleged debt. I have yet to receive any additional information from the credit bureaus or Receivables Management Corporation, yet they continue to report this debt on my credit file. 

Receivables Management Corporation is a third-party collection agency, and I have never signed any sort of medical release giving them access to any of my private health information. I have made several other attempts to validate this debt, however, they have sent me NO VALID PROOF nor HIPPA RELEASE. Furthermore, I am allowed under the Health Insurance Portability and Accountability Act ( HIPPA ) to protect my privacy and medical records from third parties. I did not give permission to any of my current or prior medical providers to release any of my medical information to a third party. I am aware that HIPPA does allow the release of limited information about me but anything more is to only be revealed with the patients authorization. Therefore, my original request was twofold -- validation of debt and HIPPA authorization. 

Additionally, any reporting of this debt to the credit bureaus prior to allowing me to validate it is a violation of the Fair Credit Reporting Act, which can allow me to seek damages from a collection agency. 

Receivables Management Corporation has violated both my CONSUMER and HIPPA rights. I did not sign any contractual agreement with them to have my medical records nor did I sign a medical release form from the medical facility for them to obtain my records. The laws of HIPPA regulations state that any time you go to the doctor and when you sign that HIPPA form, it states medical information, charts, diagnoses, and other Personal Health Information ( PHI ) is to only be shared with the individual you put down that can have this medical information released to them. The person you put down on that form, is the only person that can receive that information I.e. spouse or family member you designated. The minute that XXXX XXXX XXXX XXXX gave that information to a collection party Receivables Management Corporation showing my PHI is a direct violation of HIPPA. I did not sign a form giving up my PHI to this debt collection agency. I demand that this account be closed and removed from each of the credit bureaus ( XXXX and XXXX  ) because it has already violated my rights, as well as been detrimental to my credit file and have damaged my credit history causing credit, employment, and insurance denials and higher rates due to the erroneous reporting. Their behavior is both unethical and illegal, and I am within my rights to sue them for the damages that have already been done. 

In addition, I have retained copies of their signature and date of receipt along with time-stamped copies of my credit reports showing that they violated the Fair Debt Credit Reporting Act, Section 623 ( a ) ( 3 ) and/or the Fair Debt Collection Practices Act Section 807 ( 8 ) by not placing the disclosure within the 30-day period as required by Federal law. 

I wrote them and disputed the debt on XX/XX/2019 which they received notice on XX/XX/2019. They did not place this account and dispute clause on my credit file until after XX/XX/2019 for XXXX and after XX/XX/2019 for XXXX ( see attached copies ). As you know, this is well past the 30-day time frame required by law, so by not placing the disclosure in a timely manner, they must now remove the debt collection entirely from my credit file. I have maintained excellent records regarding my communication with this company for the purpose of filing necessary complaints should they continue in their non-compliance of federal laws under the Fair Credit reporting Act. I also reminded them that you may be liable for their willful non-compliance, as per FCRA 623 ( a ) ( 3 )  Responsibilities of furnishers of information to consumer reporting agencies [ 15 U.S.C. 1681s-2 ] ( 3 ) Duty to provide notice of dispute. If the completeness or accuracy of any information furnished by any person to any consumer reporting agency is disputed to such person by the consumer, the person may not furnish the information to any consumer reporting agency without notice that such information is disputed by the consumer. 

( B ) Time of Notice ( I ) The notice required under subparagraph ( A ) shall be provided to the customer prior to, or no later than 30 days after, furnishing the negative information to a consumer reporting agency described in section 603 ( p ).

Since they violated federal law, by not properly providing me or the credit bureaus with proper notice within the required timeframe, and I have evidence of such, they must now remove the item entirely from my credit file. If they dont remove the item, I plan to file a lawsuit where I will be seeking a minimum of {$1000.00} in damages per violation for : Defamation Negligent Enablement of Identity Fraud Violation of the Fair Debt Collection Practices Act ( including but not limited to Section 807-8 ) Violation of the Fair Credit Reporting Act ( including but not limited to Section 623-a-3 )

Company public response: Company disputes the facts presented in the complaint
Company response to consumer: Closed with explanation