Medical Debt Collection

~ Submitted by Cecily A Renzi, MBA (1/2023)

Please note an update regarding medical debt collection data: In 2022, Equifax, Experian, and TransUnion collectively decided to change their reporting of medical debt collection data on all consumer credit reports.

The bureaus have set the previously undetermined threshold on medical debt collection accounts:

New: Effective March 20, 2023, medical debt collection accounts under $500.00 will no longer be included on consumer credit reports.

The following changes went into effect on June 24, 2022 for Experian and on July 1, 2022 for Equifax and TransUnion:

Paid medical collection debt will no longer be included on consumer credit reports.

The time before unpaid medical collection debt will appear on a consumer’s report will be increased from 6 months to one year. 

Glenn E Forbes

Certified as a Distinguished 2023 Member of Lawyers of Distinction

The information you obtain at this site is not, nor is it intended to be, legal advice     
You should consult an attorney for individual advice regarding your own situation.

Forbes Law LLC

166 Main Street

Painesville, OH 44077

V: (440) 739-6211

eFax: (850) 988-7066

News You Can Use

Have you just been sued?
~  Written by Glenn E Forbes, Esq. (3/2020)

     So, you just got your Summons.  What is a Summons you ask? It is a form prepared by the plaintiff (a person or entity who brings a legal action) and issued by a court that informs the defendant (you) that you’ve been sued!!!  You are probably thinking that a Sheriff will show up at your door tomorrow to take you to jail, take away your property, or that your bank accounts are immediately going to be seized by the plaintiff.  This is not true.  Although things happen faster sometimes than you want in the law, the Wheels of Justice turn slowly.  We realize that the world of courts is new to you.  You may never have been to court or even been involved in a court proceeding, but we have!  We are in court almost every day.  The attorneys at FORBES LAW have over 50 years of combined experience in the Courts of Northeast Ohio – we can handle it!
     The mere fact that you have been sued is in and of itself not a terribly big deal.  To be sure, you need to file a response, or Answer, to the complaint, otherwise the plaintiff will get a default judgment against you and have collection opportunities.  Here at FORBES LAW, we can help you handle that case.  We will advise you on what steps to take and we will file an Answer if that is what we decide.  Once an Answer is filed, usually nothing happens very fast.  In fact, a collection lawsuit may take up to a year to get through the courts.  Certainly, if you owe money, you may have to pay some money.  However, the case may be resolved or, in fact, the plaintiff may not be able to prove the case and it will be dismissed.
     SO DON’T PANIC, we know what to do!  Call FORBES LAW.

Pay Attention!!

- Submitted by Cecily A. Renzi, MBA (2/2023)

Businesses and consumers are facing financial distress.  All you need to do is take a look around. $8 for a carton of eggs?? Gas at $3.89 a gallon?? No one really needed the extra unemployment or PPP loans back in 2020 when trouble started.  We need it now!! But it’s not coming!  What is coming, however, are increased foreclosures, evictions, collections and more.  FORBES LAW can help!  Don’t lose your home, business or face garnishment of your wages!  Contact us as soon as you think you or your business may be in financial trouble!  Check out our Bankruptcy page for more info! Please don't wait!!

Did you receive a Foreclosure Complaint?
~ Written by Adrienne S Foster, Esq. (5/2020)

If you receive a foreclosure notice upon your house, there are options available to help you retain your home.  Loan modifications are often entered into with the lenders, however, you need to qualify for a loan modification and submit the required documentation to the lender to determine if you qualify. FORBES LAW can assist with collection of the proper documentation to provide to the bank.  The basic documentation to submit for a loan modification is as follows:

1) A specific form with detailed information regarding your income and debts. 
2) Last three months bank statements
3) Most recent tax returns signed and dated
4) 30 days most recent paystubs or; profit and loss for the last 3 months if self-employed
5) Any contributor income
6) A hardship letter signed and dated
7) A tax form to go to the IRS to request your last 3 years tax returns

If the loan modification package submitted to the bank is not complete, the lender will not review until it is complete.  Documentation will get old and go “stale” and you will need to start the process from the beginning if that occurs.  FORBES LAW will work with you to make sure your package is complete when submitted for review and will also work with you to get any further documentation that may be requested to the lender timely.  

If you are offered a loan modification, usually a three month trial period with the new payment amount will occur. The bank reviews the loan modification package and proceeds with a review to determine if the interest can be lowered, the monthly payment amount lowered, and if the past due amount can be capitalized and added to the end of your loan to extend the term of the loan.  Payment plans are an option as well, but usually only occur for 12 months, which would mean you would need to pay your current monthly payment along with the past due amount owed to the lender broken up over 12 months.

Many courts in Ohio offer a mediation program for foreclosures to work out a potential loan modification with the lender.  FORBES LAW will provide you with advice regarding whether such programs are available in the court in which your foreclosure is pending and will work with the bank during the mediation process.

Finally, if you do not want to retain your home, FORBES LAW can help with options available for liquidation.  

If you find yourself in a foreclosure situation, call FORBES LAW so we can provide you with all the options available to you.

Sample Summons from Municipal Court