Question:
I have kind of a silly situation here.
I had a $50 hospital copay which I failed to pay in due time. I've
been out of town for the last few month and got back lastweek. Today a
collection agency sent me a letter that I owe them $50 plus $5.50 for
interests. It looks like the hospital sent it over to collection
agency after several attempts to send me a bill while I was away. It's
not like I intend not to pay and it's just $50 after all.
My question is that first, who should I contact to pay/resolve the
situation, the creditor or collection agency? second, If I pay it
right away will the collection agency still report me to the credit
agencies (possibly leave a speck on my credit history)? finally, what
should I do?
I've never had a debt before and maintained a perfect credit history.
It's the first time I have to deal with collections agency and I don't
know what to do.
Answer:
Go to the hospital and pay the bill. Explain you were gone for several
months and had no means to pay the bill when due. Take along the letter and
tell billing to notify the agency not to contact you again. If an entry is
made on your credit report, you have the legal right to dispute the claim.
If that is done after payment is made, you could have grounds to sue the
agency. But for small amounts when your other history is satisfactory, most
places won't even consider that in determining eligibility.
