Medical Debt Doesn’t have to Make Your Finances Sick

At Richard Banks & Associates, we are very familiar with the burden that medical bills can cause on everyday life. What we want you to know that medical debt doesn’t have to be something that’s keeping you up at night, as there are ways to go about handling said debt.

You may not know it, but medical debt is the No. 1 reason behind personal bankruptcy filings in the United States. If it feels like you are the only person struggling to keep up with medical bills, believe us when we say that you are not alone.

Looking for ways to handle your medical debts? Here are some helpful tips to take into consideration.

1. Negotiate with the health provider. Those who are self-employed, have irregular income or are currently in a circumstance that makes paying the bill difficult or impossible could find some relief simply by speaking with the health provider. Occasionally, they are able to reduce the bill if you’re are able to pay cash.

2. Consider payment plans. Unable to negotiate a lower bill? Opting for a payment plan is the next best step. According to Nerdwallet, this is one of the simplest ways to tackle your medical debt. Health providers are usually happy to work with you as long as regular payments are being made.

3. Avoid paying with a credit card. It might seem like an easy fix, but paying your medical debt with a credit card just leaves you sitting with the same debt, only now you’ll be paying interest on it. If plastic truly is the only way to go, find out if your health provider accepts special financing from things such as CareCredit. Through CareCredit, you are able to come up with a payment plan that can have zero interest if paid off on time.

4. Double-check insurance coverage and EOBs. Billing mistakes happen, which is why it’s so important to make sure your EOB and benefits match up. If you find a discrepancy or have a question, calling the health provider and your insurance company is the next step.

If you feel like you’re drowning in medical debt, another option is to speak with our team and find out if bankruptcy is the best choice for you. Because medical debt is considered unsecured debt, it is easily eliminated through bankruptcy. Remember, you don’t have to go through this alone—Richard Banks & Associates is here to walk you through the process from start to finish!