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Collections Law/Can a Hospital open up a Credit Card account in your name to collect balance owed?

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Expert: - 8/4/2009


Question
Can they legally do this without my permission?

I have a hospital balance due that I have been paying $100.00 a month on for 3 months and a remaining $1000.00 balance.  I have told the billing department that is all I can afford at this time but will continue to pay on it monthly.

Today I received a letter stating to send payment to City National Bank.  The hospital has transferred the balance owed to City National Bank and the account will now be based upon a revolving account with a 15% annual rate.  

Answer
Allen,

I am not aware of a way they can open up a credit card on your behalf without your consent.

If you are in CA or TX, I would like to speak with you personally. Please call me at (214) 552-6647. Otherwise, if you are not in those states, then contact an attorney throught www.naca.net

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Chris Ebert

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I can answer questions for Texas and California residents concerning issues that involve creditor and debtor rights. Specifically, I can answer questions concerning: FDCPA, FACTA, FCRA, and Texas / California state collections violations.

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For the last 6 years I have worked as a Sr. Paralegal in a law firm (http://www.henleycreditlaw.com) that defends debtors against their creditors. I have reviewed thousands of credit reports and under the supervision of our attorney helped hundreds of client resolve their credit issues.

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BBA University of Texas at Austin

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