If I Am Paying Monthly on a Medical Bill Can They Turn it Over to a Collection Agency?

When a person undergoes medical treatment, he will often accrue considerable expenses. These bills resemble any other debt in that the medical care provider has a legal right to receive payment on them. If a former patient does not pay his bills, the medical care provider has a right to seek payment through a number of different means, including through the use of a collection agency. However, this agency cannot change the bill payment terms.

Medical Bills

Medical bills take the form of a contract between the medical care provider and the patient. Under this contract, in exchange for the medical care provided, the patient is obligated to pay the provider a certain amount of money. This contract also specifies when this money must be paid. While some medical care providers demand immediate payment, others allow the patient to pay over a longer period of time.

Collection Agencies

If a person fails to pay his bills on time, the medical care provider may choose to turn his debt over to a collection agency. This collection agency has all the rights of the original medical care provider in regards to seeking payment of the debt. The debtor is required to either make immediate payment to the collection agency or work out an alternate payment plan.

Monthly Payments

Some medical care providers will allow a person who owes them month to pay in installments, such as through monthly payments. However, a person call only pay this way if the medical care provider agrees to it. Even if a person cannot afford to pay his medical bills in one payment, the medical care provider still has the right to require payment according to the contract.

Current Agreements

If a person has worked out a payment plan with his medical care provider in which he makes monthly payments on the debt, the medical care provider still has a right to transfer the debt to any party it wishes, including collection agencies. However, selling the debt does not grant the collection agency the right to modify the terms of the current payment plan, so long as this plan is in writing. This means the collection agency must abide by the monthly payment schedule.