An Illinois medical debt collector did not violate federal law by reporting to a credit bureau that a consumer had nine delinquent accounts when all of the debt was actually owed to one physical therapy office, a federal appeals court ruled.
The consumer, Diane Rhone, had accused Medical Business Bureau (MBB) of hurting her credit score by separately reporting her physical sessions as nine overdue accounts of $60 each instead of a single account totaling $540. In a unanimous decision on Thursday, however, a three-judge panel of the 7th U.S. Circuit Court of Appeals said MBB’s credit reporting was accurate, and difference between $540 and nine times $60 was just a matter of arithmetic.
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