Consumer complaint received 2023-08-28
Product: Debt collection — Medical debt
Issue: Communication tactics — Used obscene, profane, or other abusive language
Company: Phoenix Financial Services LLC (FL)

Complaint:
I was in use of XXXX XXXX in the month/ year of XX/XX/XXXX. Rather than properly submitting claims to the VA as they should have, there is no evidence they ever submitted any form of request for payment. On XX/XX/XXXX, I received a letter dated XX/XX/XXXX from Phoenix Financial Services debt collector stating that I owed the balance or it would go to collection. On XX/XX/XXXX I contacted the VA at which point they gave me an address to have XXXX send them the claims for processing and payment to close out the billing. I contacted XXXX on XX/XX/XXXX I spoke with a rep in billing, and they refused to send the billing claims to the VA for payment. They stated that now that it was in collections I had to handle it through there. Rather than get completely paid, they'd rather not submit the claims at all. After that call, I contacted the collection agency explaining the situation, and suggesting they instead submit the claims for payment. Instead, the man grew very aggressive and rude. Telling me it was my responsibility to pay, had I never heard of " patient responsibility ''. I told him that I had, and that is why I was working hard to get this situation resolved. It was not my mistake or error that the account had not been paid in full in the first place, but rather that of XXXX for not submitting the claims correctly. The man continued to berate me, telling me I was at fault, and that he would come after me. I told him to simply submit the claims and he would be paid. He proceeded to utter profane verbiage and threaten me with liens and garnishment. At which point I had to hang up. This is completely unacceptable. I am a XXXX XXXX XXXX XXXX  and all my medical care is covered. Due to the incompetence of XXXX I am now dealing with debt collection and an abusive collector. I am worried about my credit and is causing me serious stress and pain. It is not right that a business can act this way and we are the victims who must suffer for it. 
After doing research I found this on XXXX XXXX XXXX XXXX  site : " Current Alerts For This Business Government Action : XXXX  reports on known government actions involving business marketplace conduct : : Consumer Financial Protection Bureau Consent Order for Phoenix Financial Services, LLC On XX/XX/XXXX, the Consumer Financial Protection Bureau issued a Consent Order against Phoenix Financial Services. The Order settles allegations that Phoenix Financial Services violated the Fair Credit Reporting Act by failing to " conduct reasonable investigations of consumer disputes, '' as well as the Fair Debt Collection Practices Act by " using false and deceptive means to collect debt. '' Under the terms of the Consent Order, Phoenix Financial Services is ordered to ( a ) provide redress to affected consumers who received unlawful debt collection letters between XX/XX/XXXX and the Effective Date of the Consent Order and ( b ) pay a {$1.00} XXXX penalty to the Consumer Financial Protection Bureau. For extended details about the CFPB 's action and the Consent Order, you can visit this link : https : //www.consumerfinance.gov/enforcement/actions/phoenix-financial-services-llc/. XXXX XXXX XXXX XXXX More can be read in a XX/XX/XXXX article regarding how the CFPB took action against Phoenix Financial Services for Illegal Medical Debt Collection and Credit reporting Practices. 

https : //www.consumerfinance.gov/about-us/newsroom/cfpb-takes-action-against-phoenix-financial-services-for-illegal-medical-debt-collection-and-credit-reporting-practices/

Company response to consumer: Closed with explanation