Debt Relief for Medical Bills

Medical bills can ruin your finances especially if the debt is incurred suddenly and involves a catastrophic injury or illness. Seeking relief for medical debt begins very early in the process; even while you're still in the hospital. Fearlessly communicating with your physicians and hospital billing staff about your finances and financial situation can start you on the path to lower medical bills and more manageable debt.

Haggle the Price

Seeking debt relief for your medical bills begins the moment you begin receiving care. Don't be afraid to communicate your financial situation or your lack of health insurance to your physician. This information alone can influence how much a doctor charges you for services and net you a discount. You may also consider contacting the hospital or other medical facility where you received care and attempt to negotiate your medical bill with them. According to the New York Times, in 2009 a consumer was able to receive a 25 percent discount on his daughter's medical bills by simply calling the hospital and asking for a lower bill in exchange for paying the smaller balance in full.

Review Your Bill

Medical jargon can be complicated and difficult to understand if you're not a medical billing specialist or a health care professional familiar with the terminology. It's important to review your medical bill thoroughly for any charges for services you did not receive. Catching these errors early may net you a substantial financial relief and allow you to pay off your medical bills. If you're having trouble with the medical terminology, consider contacting the hospital billing office for help with understanding just what charges appear on your medical bill.

Negotiate a Payment Plan

Usually, a hospital or other health care provider is willing to work with a patient to create a sensible payment plan for medical bills. This ensures the hospital is paid in a timely manner and the patient is able to pay down his debts without being crippled financially. The process begins by contacting the billing office of the hospital or other medical provider and communicating your financial situation. You may be required to submit some proof of income to them in order to determine what monthly payment you can actually afford.

Debt Management Companies

If your medical bill has gone to collections or is on the verge of being sold off, a nonprofit debt management plan may be your last hope of paying down your medical debts before bankruptcy. A nonprofit debt management plan can work with the collection agency or medical provider pursuing you to determine a monthly payment plan that's manageable for your income level. The debt management company can also lock in any applicable interest rate to avoid any further increase in the balance as well as eliminate late fees. Finding a nonprofit debt management company is important because you want to avoid the fees a for-profit company charges for its services. These fees can easily eliminate any savings you may get from participating in a debt management plan.