How to Handle Past Due Medical Bills

If you have uninsured medical bills that are past due, contact the agency that is attempting to collect as soon as possible. Even if you do not have the money to begin paying down the bills, acknowledging the debts and making a good-faith effort to discuss your financial situation may stop the hospital or collection agency from commencing a lawsuit to try to collect on the debt. If you have some disposable income, attempt to make regular payments on the medical bills. Even small monthly payments may be enough for the hospital to remove the delinquent status from your account.

Instructions

1

Contact the hospital or collection agency. Once you realize you are behind on your medical bills, contact the organization that is sending you notices and acknowledge that you are delinquent. Ask for an itemized copy of your bill and review it to make sure that all of the charges are accurate.

2

Make sure that your insurance will not cover any of the charges. If you had health insurance at the time that you incurred the medical bills, contact your insurer and review your past due charges to verify that you are, in fact, responsible for the payments.

3

Negotiate a payment plan or ask for a discount off the balance before even making a payment arrangement. Most hospitals and collection agencies will be willing to work out a monthly payment plan or offer a discount. Explain the situation that led you to get behind on your medical bills and discuss how much you can afford to pay every month. You might even be able to negotiate a drastic discount just by asking for the discount rate for those without insurance. It may be more helpful to speak directly with the hospital first instead of only the collection agency.

4

Work with a debt management agency. If you are unable to reach an agreement with the collection agency or hospital on your own, a licensed debt management group may be able to work with the creditors, negotiate a settlement and help you develop a budget that will allow you to pay off your past due medical bills.

5

File personal bankruptcy. If you do not have enough income to make regular payments or if collection agencies have filed a lawsuit against you to collect on your past due medical bills, bankruptcy may be your best option. Depending on the type of bankruptcy you choose, your past due medical bills may be erased or you may be able to set up a court-supervised debt repayment program.