What must a practice do once an account is forwarded to collection agencies?

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When an account is forwarded to collection agencies, the appropriate action is to discontinue attempts to collect the balance. This is because the collection agency takes over the responsibility of pursuing the debt from that point forward. Continuing attempts by the practice could create confusion and potential legal issues, as the collection agency is now the authorized party to handle the collection efforts.

Additionally, once an account is in collections, the original creditor typically should not contact the debtor directly regarding the debt, as it could be seen as an attempt to collect the same debt from multiple parties. This also protects the rights of the patient under the Fair Debt Collection Practices Act (FDCPA), which is designed to prevent debt collectors from engaging in unfair practices.

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