The debt collection agency Renton Collections Inc. will provide $1.5 million in debt relief to settle a lawsuit by the Attorney General's Office over the company's failure to disclose to about 400,000 Washingtonians their right to request crucial information about their medical debt.

The consent decree filed today in King County Superior Court also bars Renton Collections (RCI) from ever collecting fees, costs, or interest on the medical debt at issue in the case, and RCI must include the necessary information in debt collection notices from now on.

"There's a story behind each collection notice-like a neighbor just trying to stay healthy but caught in a downward spiral of debt. That's why I'm passionate about fighting to make sure all consumers know their rights, especially when it comes to paying for health care," Attorney General Nick Brown said. "Debt collectors must inform Washington consumers of their protections under the law, and if not, they will hear from us."

Medical debt can add up in unexpected and complex ways. In Washington, people with family incomes up to 400% of the federal poverty level can receive assistance with paying hospital bills.

Collection agencies like Renton Collections are required to give notice to people receiving collections letters about their right to request key information about the debt. For medical debt, these notices must include language letting recipients know that they have the right to ask for an itemized statement that includes such things as the dates of service, the health care services provided, any interest or fees, and whether the patient was found eligible for charity care or other reductions.

Unfortunately, the law is not always followed and companies continue to violate the Collection Agency Act and the Consumer Protection Act. If you think a company may have violated the law, please file a complaint with us.

Assistant Attorney General Bob Hyde and Paralegals Judy Lim and Michelle Paules in the AGO's Consumer Protection Division handled the case for Washington.

A copy of the consent decree is available here.

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Washington's Attorney General serves the people and the state of Washington. As the state's largest law firm, the Attorney General's Office provides legal representation to every state agency, board, and commission in Washington. Additionally, the Office serves the people directly by enforcing consumer protection, civil rights, and environmental protection laws. The Office also prosecutes elder abuse, Medicaid fraud, and handles sexually violent predator cases in 38 of Washington's 39 counties. Visit www.atg.wa.gov to learn more.

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