The HIPAA (Health Insurance Portability and Accountability Act) Privacy Rule mandates that your individual healthcare information may not be shared unless there is an allowable reason for doing so. HIPPA extends to credit reporting businesses and collection agencies as well. For customers, HIPPA actually helps in dealing with late healthcare collection accounts and can be an essential part of the credit repair procedure.

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There is an interesting dynamic when the rules of healthcare records (aka HIPPA) are applied to the Fair Credit Reporting Act. Every single set of guidelines compliments each other in a manner that allows you to pay off the delinquent healthcare bill with the medical provider and then pressure the collection agencies to close the account and the credit reporting bureaus to eliminate it from your three credit reports. The steps are specific and must be done in order, but with the appropriate information and help, you can have all of your health care collection accounts removed from your credit reports.

Essentially, once the debt has been paid to the health care provider, neither the collection group, nor the credit reporting groups can access the info according to HIPPA because there is no lawful right to the information since it has been remunerated. The health care provider is unable to make available any information because it is a matter of your medical records, not an outstanding payment owed.

To start with, you notify the health care provider that you are opting out of sharing information with credit reporting agencies and all collectors, via certified mail. Then you compensate the medical provider in full, which under HIPPA, prevents the medical provider from turning over the payment to the collection group, nor reporting the debt on their credit report.

In the end, you send a letter to the credit-reporting agency, asking them to verify the details of the debt, which under the Fair Credit Reporting Act is a prerequisite. Since the debt has been paid in full, the health care provider is incapable to give any info. The collection agency must also comply because they are unable to verify the info and because it is no longer a debt that they are allowed to collect.

This is a straightforward overview of the process, but it is a sure fire process of removing health care collections from your credit report. You do not have to pay a credit repair corporation to do the above steps for you and doing so is doubtless a waste of your capital. Instead, use a far-reaching ‘do it yourself’ credit repair system, that provides detaileddirectives, a range of dispute letters particular to HIPPA and ongoing assistance to escort you through the process. Credit repair companies will attempt to charge you up to $500 per item, when you can do it yourself for a few hundred dollars.

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