medical bills question

[steeeveknowsbest]

I have a friend who asked me advice,

he recently had a surgery which his insurance wouldn't cover. He is left with a whopping medical bill which he can technically pay off if he breaks the bank and spends every last penny to his name.

He told me that someone told him that if you default on medical bills it doesn't ruin your credit.
Is there any truth to this?
what is your advice?

[PlatinumGuy]

Unless the cash is in a swiss bank account whats stopping a CA from collecting it?

Although health bills are inflated and it's possible he'll get a pretty good deal on it.

I also fail to see how its right to default on something you agreed to pay just because you wanna save the money for later

[sky121]

I have a friend who asked me advice,

he recently had a surgery which his insurance wouldn't cover. He is left with a whopping medical bill which he can technically pay off if he breaks the bank and spends every last penny to his name.

He told me that someone told him that if you default on medical bills it doesn't ruin your credit.
Is there any truth to this?
what is your advice?

Did he try agreeing on a payment plan with them? 

[bhphotoman]

Tell them ur broke at times they are willing to settle for 30 cents on the dollar

[MarkS]

Every Hospital has what's called Charity Care. You have to fill out an application from the hospital and if you're low income you can get approved for free or reduced care.

[RT]

Every Hospital has what's called Charity Care. You have to fill out an application from the hospital and if you're low income you can get approved for free or reduced care.

+1
I believe you may need to provide your tax returns and 2 pay-stubs to see if you qualify
Have you tried to get medicaid (i.e. Jersey Care, public aid) they may be able to apply the insurance retroactively and this may cover the surgery?

[RT]

+1
I believe you may need to provide your tax returns and 2 pay-stubs to see if you qualify
Have you tried to get medicaid (i.e. Jersey Care, public aid) they may be able to apply the insurance retroactively and this may cover the surgery?

Why wouldn't his insurance cover it? There has to be a better reason. Unless it was plastic surgery for cosmetic reasons I cant imagine a necessary medical surgery being unproved?

[RT]

Why wouldn't his insurance cover it? There has to be a better reason. Unless it was plastic surgery for cosmetic reasons I cant imagine a necessary medical surgery being unproved?

*Unapproved

[Name Changed]

Unless the cash is in a swiss bank account whats stopping a CA from collecting it?

Swiss banks aren't that safe anymore. Money in them was (is) reported to the US

he recently had a surgery which his insurance wouldn't cover. He is left with a whopping medical bill which he can technically pay off if he breaks the bank and spends every last penny to his name.

If he would pay every last penny, then he technically should be eligible to get reduced care

But most places will let you have a payment plan for something that he could afford

[Yordai Dooma]

He told me that someone told him that if you default on medical bills it doesn't ruin your credit.

-1

[steeeveknowsbest]

-1

Thank you!! Do you know this first or second hand or you just kinda figured?

(this is the first post that actually addresses the question that i asked!, i don't want to discuss the ethics of the issue, nor am i in a position to try and figure out a payment plan with the hospital or what my friends options or eligibility for cheaper healthcare also as far as i know the reason the insurance are not willing to pay is because the surgery was elective and for fertility reasons and therefor not strictly medically necessary)

[AJK]

I have a better question -- what possible reason could he have for it NOT negatively affecting his credit?

[PlatinumGuy]

Swiss banks aren't that safe anymore. Money in them was (is) reported to the US
If he would pay every last penny, then he technically should be eligible to get reduced care

But most places will let you have a payment plan for something that he could afford

Reporting to IRS doesn't mean Mr Hospital can collect from it.

[YankyDoodle]

The hodpital likely won't be able (or interested) in taking money from your bank account/garnishing wages. But it will definitely adversely affect credit. As AJK said, why wouldn't it? There will be a mark on the crredit history in the form of an unpaid debt and this will drastically lower credit score.

[Saver2000]

Every Hospital has what's called Charity Care. You have to fill out an application from the hospital and if you're low income you can get approved for free or reduced care.

+2
This is definitely something he should look in to.

[AJK]

+2
This is definitely something he should look in to.

Apparently you're wasting your time:

(this is the first post that actually addresses the question that i asked!, i don't want to discuss the ethics of the issue, nor am i in a position to try and figure out a payment plan with the hospital or what my friends options or eligibility for cheaper healthcare also as far as i know the reason the insurance are not willing to pay is because the surgery was elective and for fertility reasons and therefor not strictly medically necessary)

[PlatinumGuy]

So you're asking us to help someone who wants to have kids, but doesn't want to spend his on money on it after having agreed to do that?

Disgusting.

$1 says he lives in Lakewood.

[steeeveknowsbest]

So you're asking us to help someone who wants to have kids, but doesn't want to spend his on money on it after having agreed to do that?

Disgusting.

$1 says he lives in Lakewood.

you just lost a dollar.

1) I didn't ask you to help him, i asked for a simple piece of information on his behalf.

2)not that i'm here to defend my friends ethics, but when he chose to have the surgery he was assured by the doctor that referred him that it would be fully covered, the specifics of the surgery seem to be somewhat controversial and thereby he was dumped into this mess unexpected.

3)furthermore, this isn't a matter of how he chooses to spend his money, perhaps i wasn't clear, he BARELY has the money to cover his bills, were he to do so he would be literally penniless.

I think it is disgusting to judge someone you don't know, who is in a situation you know nothing about, and then to mirror your own presumed projection on an entire town.

shame on you.

[steeeveknowsbest]

I have a better question -- what possible reason could he have for it NOT negatively affecting his credit?

I figured that if there was any truth to this (which apparently there isn't) it would be that medical bills are something that usually occurs without any negligence or lack of responsibility and can be too large for even a responsible person holding down a good job to pay off.

[PlatinumGuy]

You have a mathematical error. If 99% of scumbags live in a town, it doesnt meant 99% of the town are scumbags.

If a charge is disputed to the best of my knowledge it won't (at least after disputing with the credit bureau) affect his credit until a court rules he really owes it. Thats what I would do. Send a formal cease and desist letter and wait for it to drag out. They will settle for less.

As AJK pointed out, why should a medical bill be any different than a tuition bill or any kind of debt? Once the deed is done, it's simply $$$ debt.

If the Dr duped him then you're right, and I'm sorry.