Uninsured and underinsured people across America struggle with medical bills. An accident or illness, like COVID-19, can leave you and your family with medical debt. It may not be your fault, either. You cannot control another person’s actions or your genetics. Doctors, hospitals, and clinics can sell these unpaid bills to unscrupulous medical debt collectors. Learn about three negative consequences of medical collections.
Courts can order garnishments of your wages and bank accounts to satisfy creditors. While federal law sets some limits, this can be done with many types of debt, including medical debt. Garnishments can also end up harming your credit score, causing a vicious cycle of being unable to pay back increasingly higher interest rates.
Creditors may try to seize property, such as a house or car, after a court issue. Court issues can place judgments then liens on them. Claims could prevent you from selling affected property unless the credit gets paid first. Recent legislative changes mean liens no longer affect credit scores, but continue as public records. As a result, they can come in the hands of interested parties.
A trip to the slammer is the most shocking consequence. According to an in-depth ProPublica article about imprisonment stemming from unpaid medical debt in Kansas, people in several starts are jailed each year by judges. The legal reasoning behind this harsh sanction is judges don’t imprison people over debt itself, but for missing court dates. States laws vary, but we can help you before this becomes an issue.
Your 55-minute consultation with our debt expert is free. We realize life happens, and medical collections can be challenging to navigate. Our debt validation process can help dispute the validity of your medical debt and stop collectors from harassing you. Contact us here to learn more today!