Nursing Home Illegally Collected Debts

Maryland’s Attorney General accused Clearview Nursing Home in Hagerstown, Md. of using aggressive tactics to collect debts from residents and their relatives that were not owed. The AG’s Consumer Protection Division also accused the nursing home of getting “financial guarantees” from relatives, which is illegal in Maryland. Furthermore, the collection agency they hired (CollectAssure, Inc., which was also using aggressive tactics) was operating without a license to collect debt in Maryland.

Though Clearview Nursing Home denied any wrongdoing, they reached settlements and the Consumer Protection Division will contact people who may be entitled to restitution.

The attorney general, Douglas Gansler offered this statement, “Debt collectors cannot demand money from consumers unless they are licensed to collect debt and the money demanded is, in fact owed.” I’m no debt collector, but that seems pretty obvious to me.