Steps to Take When You are Contacted About Medical Debt

Since the beginning of the COVID-19 pandemic and over the last couple of years, more Americans have faced significant medical bills due to pandemic-related illnesses and other health issues. For many of those consumers, including the ones with health insurance, their medical debt has become substantial, and many are dealing with relentless debt collectors who are seeking payments for costly hospital and treatment bills. For example, a recent NPR report discussed the crippling nature of medical debt and reported that cancer patients in particular are likely to file for bankruptcy. Indeed, a study conducted by the Kaiser Family Foundation (KFF) and reported in that article found that about 25% of cancer patients have filed for bankruptcy, and about two-thirds have struggled to pay for basic needs as a result of medical debt.

A recent article in Consumer Reports explains that consumers can take steps to “fight back” when they are contacted by debt collectors over medical bills. Our Oak Park consumer protection lawyers want to tell you more about the steps you can take when you are being contacted frequently by debt collectors concerning medical debt.

Know That You are Not Alone

Recognizing that millions of Americans are struggling with medical debt cannot help you to pay the bills, but realizing that you are certainly not alone — and that you have options — may help you to strategize. According to the Consumer Reports article, approximately 43 million Americans are contacted every year by debt collectors solely in response to the medical debt they owe, and medical bills “are the most common reason collection agencies contact consumers.” To put that number in perspective, the Consumer Financial Protection Bureau (CFPB) reports that about one out of every seven adults is contacted at least once per year by debt collectors due to medical debt.

Determine if the Debt is a Mistake

Sometimes medical debt is billed entirely in error, and sometimes the overall costs are incorrect. As such, it is critical to determine whether you actually owe the amount of money that the debt collector says you owe. You may be able to reduce the amount of debt you owe if some of the costs have been billed erroneously. To determine whether the debt is accurate, you should ask the debt collector to send you information to verify the debt. If there are any issues with the information you receive, you will typically have 30 days to file a dispute.

Report Violations of the FDCPA

Debt collectors cannot engage in unfair or deceptive collection practices under the Fair Debt Collection Practices Act (FDCPA). If a debt collector threatened you about your medical debt, harassed you, lied, or otherwise engaged in unlawful practices according to the FDCPA, you could be able to file a claim.

Consider Consumer Bankruptcy

For some people with medical debt, filing for consumer bankruptcy can allow them to get a fresh start financially and stop debt collectors from making constant contact.

Contact an Oak Park Bankruptcy Lawyer

If you have questions about your rights as a consumer concerning debt collection practices or you need advice about filing for bankruptcy to manage medical debt, one of our experienced Oak Park bankruptcy attorneys can speak with you today. Contact the Emerson Law Firm to learn more.


See Related Blog Posts:

Is Now the Right Time to File for Consumer Bankruptcy?

Can I Stop Debt Collectors From Texting Me?

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