Overwhelmed and under paid, and to top it off you have to deal with medical bill collections. No one wants to deal with collections departments, however if you know how to negotiate you may be able to resolve your unpaid hospital bills.
The goal of the collector is to recover the money owed or work out a payment arrangement. If your goal is to do the same, here are some helpful steps:
- Be polite and let the collector know you want to pay the bills, however you don’t have the means for paying off medical bills balance now.
- Provide all information required to show financial hardship to qualify for a payment plan on your unpaid hospital bills.
- Make a reasonable monthly offer for the payment plan, however always give a lower number than you can afford to pay. The collector is going to request you pay more than the number you provide. Doing it this way gives you an affordable amount and gives the collector what they want.
- If possible set up post dated payments extending out three months at a time. This prevents monthly calls from the collector.
- If you have about 40% of the money you owe in total, make a settlement offer to the collector. Medical bill collections will settle your debt for a lump sum payment, less than the amount owed. If you have the means to do this follow these golden rules:
- Get the settlement offer in writing. It must include balance, settlement amount accepted and date to be paid by.
- After you pay the settlement amount follow up with collector and get a settlement paid letter, showing you satisfied the terms of the agreement. This is proof that you paid off the debt for a less amount, if future calls continue attempting to collect on the unpaid portion.
In the event that you cannot make monthly payments or a settlement on your medical bills collections, you may want to consult with a bankruptcy attorney for advise on a permanent resolution.