Attorney general sues clinic over credit card

Suffering from a variety of aches and pains last fall, Lindsay Westerkamp took up a chiropractor's offer to treat her.

Westerkamp, a 25-year-old waitress from Burnsville, figured she could pay $25 a session for treatment. She was shocked when she got a $3,100 bill from a credit card she hadn't even applied for.

"I felt this was an asinine business practice," she said. "I felt stupid, and I'm not used to feeling stupid ... This is unethical."

Westerkamp is one of about 150 patients of a suburban Twin Cities chiropractic clinic that the state sued Wednesday over the clinic's use of health care credit cards that the suit says were fraudulently issued to patients.

Attorney General Lori Swanson called the suit against Express Health P.A. and its owner, Cory Couillard "an especially egregious case that highlights a larger problem" of a growing type of credit card fraud.

Health care providers have started promoting health care credit cards for patients who can't afford to pay the entire tab immediately. But interest rates can quickly skyrocket, saddling patients with even larger medical bills.

In a news conference Wednesday, Swanson called the practice "the health care version of subprime predatory mortgage lending."

The suit, filed in Dakota County District Court, alleges that Couillard "aggressively enrolled patients" with a CareCredit credit card and then placed charges of up to $5,040 on the patients' accounts without their knowledge.

The clinic charged more than $560,000 to its patients' accounts between the end of 2006 and last April, the suit stated.

About half of that amount later was refunded to some patients who complained, including Westerkamp, according to the suit.

"It may sound enticing at first," Swanson said, "but it quickly became unaffordable." The credit cards carried a maximum interest rate of 29.99 percent, she said.

Another patient, Edina resident Lana Erickson, said she filled out a form at the clinic to find out if she would qualify for credit, only to receive a Care Credit card -- and a $3,700 bill.

A representative of the clinic "was very persistent about signing me up," she said. But when Erickson got the bill, "I was pretty persistent" in agitating for a refund. "I really got off lucky. It didn't affect my credit, and I was able to get my money back," she said.

The suit also was brought by the Minnesota Board of Chiropractic Examiners, which licenses the state's chiropractors.

"We gladly join the Attorney General in this effort," said Larry Spicer, the board's executive director. He declined to say what, if any, action has been taken against the firm, which has clinics in Lakeville and Apple Valley.

The clinic did not respond to a call requesting comment.

Swanson said her office has fielded complaints across the state about similar practices by health providers as diverse as weight-loss clinics, optometrists and dentists.

Swanson said an investigation into other complaints is ongoing and that more suits could be filed.

Swanson also issued a consumer warning Wednesday to patients whose medical providers are marketing health care credit cards. They should be "wary of high-pressure sales tactics," according to Swanson's warning.