Consumer complaint received 2023-12-28 00:00:00
Product: Debt collection — Medical debt
Issue: Attempts to collect debt not owed — Debt was paid
Company: R.M. Galicia, Inc.
State: AZ

Complaint narrative:
Upon additional conversations and receiving additional documentation, it is clear the response Progressive Management Systems ( PMS ) submitted to me and the CFPB for case XXXX was misleading. PMS provided information to me indicating they are attempting to collect on unvalidated medical debts from multiple consumers, [ XXXX XXXX XXXX  ] stated that all patient balances went to Progressive Medical Systems, including those on payment plans. ( letter from PMS dated XX/XX/XXXX ) The sequence of events is as follows : XX/XX/XXXX I set up the 6-month payment plan through the original creditors website. The first payment was deducted from my credit card. 
XX/XX/XXXX The second payment was deducted from my credit card XX/XX/XXXX The third payment was deducted from my credit card XX/XX/XXXXXXXX XXXX XXXX XXXXXXXX referred the debt to PMS XX/XX/XXXX PMS generated a collection letter to me for the outstanding balance ( payments XXXX, XXXX, and XXXX ) XX/XX/XXXX The fourth payment was deducted from my credit card XX/XX/XXXX I received a voice mail from PMS and called them back promptly. They told me they were attempting to collect the amount of the last 3 payments on my payment plan ( including the one that had been deducted on XX/XX/XXXX ). I disputed the debt, as it was in good standing. The rep promised to research this and get back to me. 
XX/XX/XXXX I received the XX/XX/XXXX letter in the mail. I called back and the rep told me they were reducing the amount in collections by the amount of the fourth payment. 
XX/XX/XXXX After the call with PMS, I filed a CFPB complaint, XXXX XX/XX/XXXX PMS respond to CFPB complaint stating the original creditor cancelled my payment plan on XX/XX/XXXX and sent the account to PMS. This is clearly false, based on the timing of the first collection letter and the admission of multiple reps. 
XX/XX/XXXX I called PMS with questions about their response to the CFPB complaint. The rep refused to transfer me to XXXX XXXX, the respondent to the CFPB complaint. Instead, I spoke to XXXX, a manager at PMS. He said the debt had been referred to them on XX/XX/XXXX. I asked XXXX why my account, which was in good standing, was sent to PMS for collections. He told me he didnt know. I pointed out that, as a collection agency, knowing why a debt was sent to them is their job. XXXX promised to find out and said he would personally call me back. 
XX/XX/XXXX I received a letter from PMS dated XX/XX/XXXX, signed by XXXX XXXX. The letter states the following : - We sent your further dispute to the client, and they stated that all patient balances went to Progressive Management Systems, including those on payment plans. 
- PMS is willing to accept my remaining two payments at the frequency I previously been making them - In the corner of the letter, there is an indication accrued interest on the debt, although the original payment plan was interest-free. 
XX/XX/XXXX I called PMS back and spoke to XXXX. She confirmed the debt was originally sent to them on XX/XX/XXXX. She informed me that my account was, in fact, considered delinquent, despite their previous offers to take over the payment plan. Not wanting to risk my credit, I paid the amount in full. 

The amount of my debt was inconsequential. But the facts of a much bigger issue are clear : - PMS is pursing collection activities against countless customers of XXXXXXXX XXXX XXXXXXXX who were in good standing on payment plans- PMS is attempting to collect on payments that had already been made- When confronted, PMS offers to match the terms of the original payment plan - PMS then surreptitiously adds 3 % interest to the payment plan, even though the original plan was interest-free Progressive Management Systems is engaged in widespread attempts to collect on unverified debts. CFPB should investigate fully, rather than letting the company close this complaint without oversight.

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with non-monetary relief