On a subconscious level you probably already know that “Medical Payment Data” shown on your credit report is not a good thing. It is true that it means a medical debt you should pay off earlier. In fact, very often you won’t know it until a third party gets your credit report and tell you so. The third party here refers to a bank or savings and loan association, to which you apply for a car or mortgage loan.
After you are aware of the presence of “Medical Payment Data”, this bad mark tends to worry you greatly since it may harm your credit profile. Of course, that is totally understandable that you want to remove it off immediately from your report. However, from the report you can’t find out who the debtor is and what the contact info is. That’s to say, this term serves as an indication of a medical collections only and it won’t provide name, address, and phone number.
In fact, there is a reason for the debtor’s name is not directly given here. According to Federal medical privacy law, doing so is to protect your privacy. After all, it has something to do with the health care. For instance, for the sake of the privacy of a patient with STDs and infections, the name of chief doctor and his specific expertise in the areas will not be revealed on the credit report. As a result, this vague entry is a half-measure – not only abide by the law but also meet its obligations of notice.
Although you fail to obtain further information from the report, you can directly contact the credit bureau and request a copy of your personal credit report from the credit-reporting agencies by yourself. This makes a lot of sense to you especially when you have no memory of your debts at all. After all, the delinquency might have slipped your mind since it occurred years ago. From that copy you will be informed in detail what exactly is going on to your account, including the actually owners of that medical debt.
If you want to fix the credit report, who you should contact now is the medical collection agency instead of the hospital or the physician. In other words, the actual creditor is the collection agency now. In a sense, if a medical-related account is delinquent, it is worse than the hospital debt itself. Actually, bad mark like this can be completely avoidable only if you make the payment on time to the collection agency before it is listed. It will be more difficult to undone it once the damage has been done. In general, the earlier the delinquency, the worse the consequence.
However, sometimes “Medical Payment Data” can be considered excusable especially when your application is reviewed by human. This often occurs in small car dealership or small bank. In spite of this, to improve your credit profile you should try every means to get rid of negative things on your credit report. And faithfully paying off this debt is the key.