topic Re: Medical Debt in Mortgage Loans

Medical Debt

Tmyers — Sat, 01 Jul 2023 20:23:33 GMT

Does anyone know if settled debt counts as paid in full for medical collections?

I am going for USDA 502 Direct loan and collections have to be either paid or on payment plans within the 6 months before you apply. However, if I settle them and it's considered paid in full then they'll remove them and it won't matter. I'm trying to speed up time here cause the USDA takes forever to process applications and waiting 6 months is hefty.

Re: Medical Debt

butterpecan — Sun, 02 Jul 2023 03:52:47 GMT

@Tmyers wrote:
Does anyone know if settled debt counts as paid in full for medical collections?
I am going for USDA 502 Direct loan and collections have to be either paid or on payment plans within the 6 months before you apply. However, if I settle them and it's considered paid in full then they'll remove them and it won't matter. I'm trying to speed up time here cause the USDA takes forever to process applications and waiting 6 months is hefty.

@Tmyers

Settled is paid, they agreed you owe nothing else after you pay.

Re: Medical Debt

Tmyers — Sun, 02 Jul 2023 06:16:54 GMT

@butterpecan wrote:
@Tmyers wrote:
Does anyone know if settled debt counts as paid in full for medical collections?
I am going for USDA 502 Direct loan and collections have to be either paid or on payment plans within the 6 months before you apply. However, if I settle them and it's considered paid in full then they'll remove them and it won't matter. I'm trying to speed up time here cause the USDA takes forever to process applications and waiting 6 months is hefty.
@Tmyers
Settled is paid, they agreed you owe nothing else after you pay.

Thank you for your response!

Re: Medical Debt

FireMedic1 — Fri, 07 Jul 2023 21:01:52 GMT

@TmyersWas the debt removed from your credit reports now since its paid?

Re: Medical Debt

Tmyers — Fri, 07 Jul 2023 21:12:20 GMT

@FireMedic1 wrote:
@TmyersWas the debt removed from your credit reports now since its paid?

I haven't paid it yet. Working on it now.

Re: Medical Debt

FireMedic1 — Sat, 08 Jul 2023 12:47:06 GMT

Cool. Once paid. Its gone.

Re: Medical Debt

Tmyers — Wed, 06 Sep 2023 15:32:42 GMT

@FireMedic1 wrote:
Cool. Once paid. Its gone.

Just to update you all. The credit Bureau did delete once I paid it. I settled! So they'll delete it either way. Thanks for y'all great help

Re: Medical Debt

SouthJamaica — Wed, 06 Sep 2023 15:35:44 GMT

@Tmyers wrote:
@FireMedic1 wrote:
Cool. Once paid. Its gone.
Just to update you all. The credit Bureau did delete once I paid it. I settled! So they'll delete it either way. Thanks for y'all great help

Congratulations.