Medical Debt Collection in Tennessee

MSBureau specializes in ethical debt recovery for hospitals and medical providers in Tennessee. We deliver compliant solutions, helping maximize your financial performance while treating every patient account respectfully.

Medical Debt Collection Expert

Professional Collection Agency In Tennessee

Debt recovery requires precision, empathy, and full compliance with both state and federal law. Under Tennessee Code Annotated § 28-3-109, providers have six years to pursue payment on written and open-account debts. The Tennessee Collection Service Board licenses all collection agencies, while the Tennessee Consumer Protection Act (TCPA) prohibits unfair or deceptive collection conduct. Since the 2021 Surprise Billing Act (HB 1246), out-of-network claims cannot be sent to collections until arbitration concludes—raising the compliance bar for healthcare revenue recovery.

Partnering with Midwest Service Bureau (MSB) ensures that hospitals, physician groups, and clinics operate within these guardrails while maximizing recovery. Our hospital bill collection workflow converts receivables into consistent revenue streams without risking penalties or reputation loss. With 55 years of experience and real-time analytics through our Expert Analysis portal, MSB helps healthcare organizations maintain compliance, liquidity, and patient trust.

Our Proven Debt Recovery Method

Each step in our process ensures legal compliance, PHI protection, and compassionate patient engagement.

Phase 1: Account Review & Validation

Import aged receivables from Epic, Cerner, or Meditech.
Scrub accounts for payer denials, duplicate claims, charity-care eligibility, time-barred debt, and Surprise Billing arbitration holds.
Verify compliance with T.C.A. § 28-3-109 and remove any non-collectible balances before patient contact.

Phase 2: Patient Contact & Communication

Send first notices within 24 hours, including bilingual charity-care flyers and GFE disclosures.
Use phone, SMS, email, and secure portals within the 8 a.m.–9 p.m. TCPA-compliant contact window.
Empathy-driven scripts reduce complaints and increase right-party contact rates by up to 25%.

Phase 3: Resolution & Payment Processing

Patients can self-enroll in zero-interest payment plans through MSB’s Early-Out Patient Collections portal.
Payments post instantly to your PMS with real-time dashboard reporting and 256-bit encryption.
Receipts comply with Tennessee’s 7.25% floating post-judgment rate and include mandatory TCPA disclosures.

Turning Debt Challenges into Recovery Opportunities

Types of Medical Debt We Collect

Hospital & Health-System Debt

Physician-Practice Collections

Specialty-Healthcare Debt

Why Choose MSB for Medical Debt Collection?

Tennessee Healthcare Knowledge: We understand the state’s healthcare structure, insurance patterns, and patient expectations, allowing us to manage accounts with accuracy and regional awareness.
Fully Compliant & Secure Collections: MSB maintains strict compliance with Tennessee regulations, as well as HIPAA and FDCPA standards—ensuring secure data management and legally sound practices.
Advanced Technology & Performance Tools: Our data analytics, automation, and tracking systems streamline workflows, increase efficiency, and improve recovery outcomes.
Transparent Reporting & Account Visibility: You receive real-time insights into account activity and recovery progress, keeping you consistently informed without guesswork.

Compliance, Security & Professional Standards

Key Rule	Requirement	Citation*
Statute of limitations	6 years on written contracts & open accounts; partial payment or a new written promise restarts the clock	T.C.A. § 28-3-109
Surprise Billing (HB 1246, 2021)	Disputed OON balances stay out of collections until arbitration concludes	T.C.A. § 56-7-2406
Charity-Care Screening	Non-profit hospitals must offer discounts/free care ≤ 200 % FPL and wait 120 days before “extraordinary” actions (mirrors IRS 501(r))	Tenn. Rules & Regs. 1200-08-29
Post-judgment interest	7.25 % (floating statutory rate) unless the contract specifies less	T.C.A. § 47-14-121

State-Specific Regulations

Statute of Limitations: Six years for written and open-account debts (T.C.A. § 28-3-109); restarts with a partial payment or written promise.
Surprise Billing (HB 1246, 2021): Out-of-network medical debts cannot enter collections until arbitration concludes (T.C.A. § 56-7-2406).
Charity-Care Screening: Nonprofits must offer free or discounted care up to 200% FPL and wait 120 days before taking “extraordinary collection actions.”
Post-Judgment Interest: 7.25% floating rate unless the contract sets a lower amount (T.C.A. § 47-14-121).

HIPAA & Breach Notification

MSB encrypts all PHI in transit and at rest, uses tiered user authentication, and adheres to Tennessee’s 45-day breach notification rule (T.C.A. § 47-18-2107). Immutable audit logs record every file event, ensuring transparency and traceability.

Licensing, TCPA & FDCPA Compliance

Licensed under the Tennessee Collection Service Act (T.C.A. § 62-20-101 et seq.).
Maintains a $25,000 surety bond and submits annual trust-account audits.
Violations are enforceable under the TCPA (T.C.A. § 47-18-104) with treble-damage liability.

MSB’s collectors undergo continuous TCPA and FDCPA training to ensure every communication is accurate, documented, and harassment-free.

Our Track Record

Average recovery rate

0 %

Day Average

Accounts

Resolution

0 %

Our Track Record

93%

Average recovery rate

34

Day Average

4,812

Accounts

93%

Resolution

What Our Client Say

Discover the experiences of our satisfied clients. Hear firsthand Midwest Service Bureau Reviews on how MSB has delivered reliable, results-driven solutions that make a real difference.

Midwest Service Bureau is a company that truly looks out for the greater good of their client. They want to see their clients thrive, even if that means they do not make a profit. Any time I have ever had a question I call Midwest and they have the answer. Any time I have needed advice they have been there for me and have guided me through the process. Their customer service is outstanding and their work ethic is even better! I couldn’t imagine a time when I wouldn’t need them.

The team at Midwest Service Bureau has earned our trust for over 10 years based on their service, results, performance, and rates and that’s why they will continue to receive all our collection business. They deliver excellent customer service with quick responses, unlimited willingness to lend their assistance, ethical work values, and even training seminars that provide us with other processes and tools to reduce our collections activity. On top of that, I enjoy the relationships I have made with the people of MSB over the years. I have no reservation in recommending Midwest Service Bureau to others.

We have been doing business with Midwest Service Bureau for a while now. They have an extremely high recovery rate. They are always right on top of things, and get the job done. We have other credit services calling us but, we always tell them that we are happy with who we are using. We would highly recommend them to anyone.

Our office has had a great experience with Midwest Service Bureau. The staff is very helpful and knowledgeable, always available to answer questions. Our representative comes into our office once a month to check in and see how things are going for us. If we have any questions or issues they take the time to get them resolved. Midwest also offers training for the staff. We did take advantage of this opportunity and it was very helpful to the staff members that had no previous experience with collections. Through the training, the front office staff learned what information they should be gathering and the importance of it. I would highly recommend Midwest Service Bureau if you are looking for a collection agency.

I have been employed with Sunflower Bank for over 20 years as the collection manager, and during that time have dealt with Midwest Service Bureau, LLC regarding collection accounts to include credit cards, loans, and deposit accounts. I have also dealt with them prior to coming to Sunflower Bank when I worked for GMAC out of Wichita, KS for roughly ten years. Micki Kell who is the President of this organization and her staff have provided wonderful customer service the entire time. A representative from the organization always contacted us in person once a month, and the face-to-face contact was always greatly appreciated. Their staff was always available to answer any questions or address any concerns we had. Their software program was very user friendly and make it an easy way to communicate regarding accounts. I would definitely recommend this organization if you are looking for a company to handle your collection accounts.

Frequently Asked Questions

How long can medical debt be legally collected in Tennessee?

In Tennessee, the statute of limitations for most medical debts is 6 years. After that timeframe, legal enforcement options are limited, though the balance itself may still exist as a record.

Will paying a medical collection remove it from my credit in Tennessee?

In many cases, yes. Paid medical debt may be removed or marked as resolved, helping improve your credit profile over time. Addressing it early is better for long-term financial health.

Is my personal health information protected during the collection process?

Absolutely. MSB complies with HIPAA laws. Only billing and balance information is shared—never private medical history or treatment details.

Can I dispute a medical debt in Tennessee if I think it’s incorrect?

Yes. You have the right to dispute the debt in writing. The collector must pause activity and provide itemized validation showing the services, dates, and charges before continuing.

Related Services

Contact Us Today

Ready to improve your healthcare organization’s revenue cycle? Contact our specialists today.

Phone: 316-263-1051
Address: 625 W. Maple St., Wichita, KS 67213

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Tennessee medical debt collection is no longer a “business-as-usual” task. The Volunteer State enforces a six-year statute of limitations, licenses every collection agency through the Tennessee Collection Service Board, and polices “unfair or deceptive” conduct under the Tennessee Consumer Protection Act (TCPA). The 2021 Surprise Billing law further keeps disputed out-of-network balances out of collections until payer–provider arbitration ends. One compliance misstep can invite fines—or worse, damage hard-won patient relationships. Partnering with Midwest Service Bureau (MSB) gives you a Tennessee medical debt collection workflow that converts receivables into revenue, without triggering Board sanctions or TCPA penalties. With 55 years in healthcare collections and analytics inside our Expert Analysis portal, we keep your cash flow and reputation healthy.

Tennessee Medical Debt Collection Laws

State-Specific Regulations

Key Rule	Requirement	Citation*
Statute of limitations	6 years on written contracts & open accounts; partial payment or a new written promise restarts the clock	T.C.A. § 28-3-109
Surprise Billing (HB 1246, 2021)	Disputed OON balances stay out of collections until arbitration concludes	T.C.A. § 56-7-2406
Charity-Care Screening	Non-profit hospitals must offer discounts/free care ≤ 200 % FPL and wait 120 days before “extraordinary” actions (mirrors IRS 501(r))	Tenn. Rules & Regs. 1200-08-29
Post-judgment interest	7.25 % (floating statutory rate) unless the contract specifies less	T.C.A. § 47-14-121

*Compiled from Tennessee Code and Department of Commerce & Insurance rules (2025).

HIPAA & Breach-Notification

MSB encrypts all PHI in transit and at rest, applies role-based access, and mirrors Tennessee’s 45-day breach-notice deadline (T.C.A. § 47-18-2107). Immutable audit logs live in our HIPAA + FDCPA compliance hub.

Licensing, TCPA & FDCPA

The Tennessee Collection Service Act (T.C.A. § 62-20-101 et seq.) requires agencies to:

Hold a state license (renewed every June 30).
Maintain a $25 000 surety bond.
File annual trust-account audits.

Violations also constitute unfair acts under the Tennessee Consumer Protection Act (T.C.A. § 47-18-104), carrying treble-damage exposure. MSB renews its license and bond annually, then trains every collector on both TCPA and FDCPA, ensuring every Tennessee medical debt collection call is courteous, accurate, and fully documented.

Credit-reporting note: Tennessee has not banned medical tradelines. MSB suppresses bureau reporting on request and is monitoring the CFPB’s proposed 2025 nationwide prohibition.

Our Tennessee Medical Debt Collection Process

Phase	What We Do	Result
1 – Account Review & Validation	Pull receivables from Epic, Cerner, or Meditech Self-Pay Recovery; scrub for payer denials, duplicate claims, charity-care eligibility, surprise-billing holds, and time-barred balances	Only clean, compliant Tennessee medical debt collection files advance
2 – Patient Contact & Communication	First notices mail in 24 h with bilingual charity-care flyers. Voice, SMS, email, and portal outreach follow Tennessee’s 8 a.m.–9 p.m. window and TCPA scripting. Self-service via our Early-Out Patient Collections portal enables zero-interest plans in minutes	Higher right-party contacts, lower complaints
3 – Resolution & Payment Processing	Settlements, HSA draws, and payment-plan drafts post instantly to your PMS; APIs feed real-time dashboards. All receipts reflect Tennessee’s floating post-judgment rate and TCPA disclosures	Faster cash, audit-ready documentation

Types of Medical Debt We Collect

Hospital & Health-System Balances

Emergency-department visits
Inpatient & outpatient surgeries
Diagnostic imaging & lab services
Surgical implants & supplies

Physician-Practice Debt

Primary-care appointments
Specialist consults & office procedures
Ancillary lab/imaging referrals

Specialty Healthcare Debt

Dental debt collection
Vision & hearing care
Mental-health therapy
Home-health & physical-therapy balances

Benefits for Tennessee Healthcare Providers

Improved Cash Flow – Clients using our Tennessee medical debt collection workflow trim AR days by 30 %, freeing capital for staffing and tech upgrades.
Compliance Assurance – HIPAA encryption, state licensing, and surprise-billing holds shield you from audits and PR fallout.
Patient Relationship Preservation – Empathy-first scripting, transparent billing, and flexible payment options keep Net Promoter Scores high, even during difficult conversations.

Frequently Asked Questions

What is the statute of limitations for Tennessee medical debt collection?

Six years from the last payment or invoice; a new payment or written promise restarts the six-year clock.

Can medical debt affect my credit score in Tennessee?

Yes—medical tradelines may still appear. MSB can suppress reporting on request, and we will adjust when federal rules change.

How does medical debt collection differ from other debt?

Tennessee medical debt collection must respect HIPAA, state licensing, TCPA, surprise-billing arbitration holds, charity-care screening, and the six-year statute, stricter than ordinary consumer debt.

What should I do if I receive a medical debt collection notice?

Review the itemized bill, compare charges to your Explanation of Benefits, and contact MSB within 30 days to dispute or arrange a plan.

Contact Our Tennessee Medical Debt Collection Team

Ready to strengthen your revenue cycle? Reach our nationwide MSB headquarters, serving Tennessee providers daily.

Phone: 316-263-1051
Address: 625 W. Maple St., Wichita, KS 67213