It was reported late last month that Collison had been in talks with the Championship club regarding an extension.
An agreement has yet to be struck and reports suggest Roy Hodgson's Baggies have now expressed an interest in signing the 22-year-old Wales international midfielder.
Collison is aware of the transfer talk but is staying focused on trying to reach an accord with the Hammers.
"It's flattering but I'm in negotiations over a contract at the moment," he said in The Sun about the link to the Albion.
"Let's see how that goes."