Debt collector is assignee of creditor and sued for payment of my deceased husband's medical bill. Issue was between Insurance company and medical provider (submitted wrong billing code to insurance) as a result, they were not paid and so unpaid bill was presented to me for payment. I called insurance and told them about billing error so medical provider corrected coding error and resubmitted for payment. Insurance fully paid account before hearing. However, collection company/debt collector or creditor did not file "Acknowledgment of Satisfaction of Judgment". Debt collector filed Abstract of Judgment and placed lien on my real properties for collection of additional fees, charges, etc. Demand payment before release of lien and provide report to credit bureaus as fully paid.
Debt Collection Attorney
You may have the basis for suing the collection agency for violations of the Fair Debt Collection Practices Act and other statutes. If you have a good case you can recover statutory penalties of up to $1,000 per violation, any actual damages that you can prove and your attorney's fees. You should consult an attorney who sues abusive debt collectors.
I would recommend meeting with a local attorney who practices consumer law (specifically FDCPA violations) to discuss whether this debt collector has violated the law. The debt collector may have violated the Fair Debt Collection Practices Act and other state specific collection laws. You can search for a consumer law attorney who is located in your area on Avvo.