Medical debt is one of the most common types of debt in the United States, and Florida has specific laws that regulate how healthcare providers and debt collectors can pursue unpaid medical bills. Understanding Florida medical debt collection laws is essential for both healthcare providers seeking to recover payments and patients trying to manage their medical expenses.

The rules surrounding medical debt collection are designed to ensure that debt recovery is fair, transparent, and compliant with both federal and state regulations. Whether you are a medical provider or a patient, knowing your rights and responsibilities can make the process smoother.

How Medical Debt Collection Works in Florida

In Florida, medical providers often attempt to collect unpaid bills through their internal billing departments before turning accounts over to a licensed debt collection agency. Once a debt is sent to collections, it may be reported to credit bureaus, which can impact a patient’s credit score.

Federal laws, including the Fair Debt Collection Practices Act (FDCPA) and the Consumer Financial Protection Bureau (CFPB) regulations, set strict guidelines on how medical debt can be collected. In addition, Florida law provides extra protections for consumers, ensuring that collection practices remain ethical and legal.

Key Florida Laws on Medical Debt Collection

The Florida Consumer Collection Practices Act (FCCPA)

The FCCPA is Florida’s version of the FDCPA, which applies at the federal level. This law prohibits abusive or deceptive debt collection practices, ensuring that patients are not harassed or misled by collection agencies. Some of the most important provisions include:

• Collectors cannot threaten legal action unless they actually intend to follow through.
• Medical debt collectors must accurately disclose the amount owed and the creditor’s identity.
• Contacting a debtor at their place of employment is prohibited if the employer does not allow it.
• Debtors have the right to request validation of a medical debt.

Violations of the FCCPA can result in penalties against collection agencies and give consumers the right to take legal action.

Florida’s Statute of Limitations on Medical Debt

The statute of limitations dictates how long a medical provider or collection agency has to pursue a debt through legal action. In Florida, the time limits are:

• Five years for written medical agreements
• Four years for oral agreements

After the statute of limitations expires, a provider or collection agency can still attempt to collect the debt, but they cannot sue the patient in court.

Protections for Medical Debt and Credit Reporting

A new federal rule from the CFPB limits how medical debt appears on credit reports. As of 2023, paid medical debt can no longer be reported to credit bureaus, and unpaid medical debt under $500 will not impact a consumer’s credit score. These changes help protect consumers from long-term credit damage due to unexpected medical expenses.

What Healthcare Providers Should Know

For medical providers, staying compliant with Florida medical debt collection laws is critical. Working with a licensed and reputable debt collection agency helps ensure that all collection efforts are legal, ethical, and effective.

Providers should:

• Ensure they follow the correct billing and documentation process before sending a debt to collections.
• Work with compliant collection agencies that follow both FDCPA and FCCPA guidelines.
• Offer payment plans or financial assistance options when possible to help patients manage their medical debt.

What Patients Should Know About Medical Debt

For patients facing medical debt collection, knowing your rights can help you navigate the process with confidence. If you receive a collection notice for medical debt, you have the right to:

• Request written validation of the debt before making any payments.
• Dispute incorrect charges if there are billing errors or insurance discrepancies.
• Negotiate a settlement or payment plan to avoid negative credit reporting.

If a collection agency violates the FCCPA, patients can file a complaint with the Florida Attorney General’s Office or the Consumer Financial Protection Bureau.

Work With a Trusted Debt Collection Partner

For medical providers, unpaid medical bills can create serious financial strain. Ensuring compliance with Florida’s debt collection laws while maximizing recovery rates requires working with a trusted, professional debt collection agency.

At Advanced Collection Bureau, we specialize in medical debt recovery that is legal, ethical, and patient-focused. We help healthcare providers recover outstanding debts while maintaining compliance with all state and federal regulations.

If your medical practice needs professional debt collection services, visit Work With Us to learn more.

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