Can a collection company pursue a judgement if the debt was paid to the original creditor by my health insurance?

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Can a collection company pursue a judgement if the debt was paid to the original creditor by my health insurance?

Medical debt. Cobra benefits. All original health care providers paid. Collection companies refused to dismiss claims.

Asked on August 7, 2012 under Bankruptcy Law, Illinois

Answers:

FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney

Answered 8 years ago | Contributor

In the realm of matters it is entirely possible for a third party debt collection company to pursue a paid off debt to the judgment creditor based upon the facts that you have written about. Whether such is legally permissible seems suspect. Given what you have written you should consult with an attorney that practices in the area of consumer law about the possibility that the claims by the third party debt collector may be in violation of federal and state law under unfair debt collection practices.


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