Hospitals can be good about negotiating payment arrangements. I would try to work with them before it goes to collections. Don't be afraid to ask for something small like $25/month. Let them counter if they won't accept that. You can also try to negotiate the total amount that you owe. After it goes to collections, it will be much more difficult to work with them.
Starting Score: ~500 (12/01/2008)
@chickadee wrote:My son had an accident and was hospitalized for 3 days. We are uninsured and so we applied for Medi-Cal. However, Medi-Cal found that we make too much money so our share of cost is over $5000. The kicker is he was injured on the last day of the month so according to Medi-Cal our share of cost is $10,000 ($5000 per month).
I am self-employed and made some decent money over the summer (which is why the high share of cost which was calculated based on my biggest months) but now my work has completely dried up. I don't see any way we can even begin to pay this and because Medi-Cal took so long to process, all the accounts are in or very near collection. So the E.R., ambulance ride to a second hospital, I.C.U. for two days, CT Scan, MRI, anesthesiolist, and about 6 different doctors want a piece of us.
My husband and I have a bankruptcy that discharged in 2010. We have made some efforts to rebuild our credit but my husband is very credit shy and so we have a joint car loan and each have a secured credit card. We don't own a home.
We were hoping to buy a house in the next few years, but we won't be able to save for it. I would normally not even consider this but if I let them all go to collections, the BK and the medical bills will fall off my credit report at the same time.
All of the bills are coming in my name only. I'm hoping this will only affect my credit. I know California is a community property state, but if they only have my name, will they show on his credit?
Any guidance on this would be appreciated.
Two collections deleted off my score caused a 111 point increase. Find out about charity care in your local community. Call the doctors and hospital system involved; do not try to avoid them. It just makes it worse. Try to contact them BEFORE collections occur; it will work in your benefit!
Starting Score: 525
I agree with the above answers - even if you tell the hospital the minimum you can pay and start paying every month, never late without fail, it will be far better than going to collection. I'm having to battle a 5 1/2 yr old hosp. bill that I've had to get an atty for. It's a mess and may affect whether or not I can obtain an FHA loan. Also, most hospitals have a charity program - if your income has dropped off and you are within their guidelines, apply for it. Just don't make my mistake of accepting their word for it, there's an application process and you have to have to receive a letter from them excusing your debt. Tackle each bill one by one and tell them all you can pay is $25 a month. Most hospitals just want to see something coming in.
