Costco Connection - November 2006

CONSUMERconnection

Sick about

Also: ■ Auction alert ■ Home scams

Ask David

Horowitz

doctors’ fees?

SOME DOCTORS are finding new ways to make up for dwindling income by passing new fees on to patients, according to various reports.

They are generating cash by charging for formerly free services such as refilling prescriptions over the phone, writing permission or excuse letters and providing copies of patients’ files, to name just a few examples.

Some medical offices are also reportedly charging for returning patient phone calls or e-mail, filling out medical or insurance forms and responding to other clerical requests.

Medical experts say such fees are inevitable as practitioners seek increased cash flow to make up for Medicare treatment cuts, lower health-care insurance fees and higher office operating expenses.

“In the old days, we just did it—it was part of doing business and doctors would absorb the cost,” says an East Coast pediatrician. “But in today’s climate, with so much paperwork involved, doctors feel they can no longer give services for free.”

For example, the pediatrician said he now charges $5 for such services as filling out school, camp or athletic participation forms.

If you have questions about any charges, discuss them with your physician. You might also want to check the American Medical Association Web site at www.ama-assn.org to see if such charges are allowed by AMA policy.

approve release of your payment to the seller. Just make sure you use a reputable escrow service. Check it out the way you would any business.

WHEN I HAD new bedroom furniture delivered, the delivery men damaged my hardwood floor, leaving a 15-foot gouge from the entry to the bedroom. Several refinishers agree that the entire downstairs floor must be refinished because a repair will be obvious, and my family has to move out while the work is done. But the store’s insurance company says they're liable to fix only the gouge, not the whole floor.

Richard San Ramon, CA

Be smart about online auctions

Buying and selling items online through auctions, classified ads, newsgroups and chat rooms puts buyers at risk for many common types of fraud. Unfortunately, resolving disputes can be difficult when the seller is in a different city, state or country.

Crooks apparently know that federal agencies may be unable to help buyers because many laws don’t apply to private sales between individuals.

Here’s how you can protect yourself.

■ Find out how the auction works before you bid. Don’t assume that the rules or protections of one Internet auction apply to another. For example, can you cancel a bid? Does the site provide free insurance or guarantees for items that are not delivered or don’t match the description?

■ Research the value of the item you are bidding on. Establish your top price and stick to it. Don’t bid on an item you don’t intend to buy; otherwise, if you’re the highest bidder, it’s yours!

■ Use an escrow service if the seller can’t accept payment by credit card. In such a case, a third party holds your money until you get your purchase and

Scam artists target homeowners

Once a property owner misses two or three monthly payments, a lender routinely files a public notice of default with the county recorder’s office, which is a precursor to formal foreclosure. Scam artists simply have to re ad the notices to find possible victims. They then descend on the homeowners with outstretched hands and an offer to help, and trick them into signing over title to their homes.

Here are some tips to prevent foreclosure fraud: Never sign a contract under pressure. Never sign away ownership of your property to anyone without getting advice from a lawyer or knowledgeable expert. And don’t make mortgage payments to someone other than your lender.

Also, beware of any home sale contract in which you aren’t formally released from liability for your mortgage. And if you’re not English-speaking, use your own translator; don’t depend on translation offered by others. C

AMY CAN TRELL

David Horowitz is a leading consumer advocate. His “Fight Back!” commentaries are heard daily on the Jones Radio Network. For stations and times, check the radio page at www.fightback.com.

RICHARD, if the delivery
service is part of the
store, then they
should be insured
for such damages.
You should file a
claim to restore
the floor to its
original condi-
tion, plus hous-
ing costs for
your family dur-
ing the repair.
Keep a paper trail
of all your communica-
tion, with all offers or
counteroffers in writ-
ing. If the store refuses
to do the necessary
work, turn this case
over to your insurance
company. Your best bet
may be to have the
repairs done under your
own policy and have
your insurer subrogate
the claim—going after
the store’s insurer to
cover damages.

Do you have a question for David?

Just log on to www.fightback.com and “Ask David.” He will personally respond to your problem if you follow the instructions printed on his Web site. (Costco members receive a rebate off the normal fee.) Questions and answers of the greatest interest to Costco members will be used in this column with the permission of the contributor and will be posted on www.fightback.com.