Receiving a hospital bill can be stressful, especially if the amount is unexpectedly high Hospital billing processes can be confusing, with varying timelines and policies Knowing what to expect can help you effectively manage paying your hospital bills.
Typical Hospital Billing Timeline
After receiving hospital services, you’ll likely get your first bill within 30-60 days. However it may take up to 6 months to receive an initial bill, as hospital billing departments process the various charges incurred.
The hospital bill reflects services provided by the facility and any hospital-based providers. Any doctors who see you independently may bill separately later
Once you receive your hospital bill, payment is typically due within 30 days. Failure to pay may result in late fees, interest charges, or the bill being sent to collections.
Hospital Collection Timeline
If a hospital bill remains unpaid past the due date, you’ll receive late notices urging you to pay. If you still don’t pay, the hospital will eventually send the unpaid bill to a debt collection agency.
The typical collection timeline is:
- 30 days past due – 1st late notice
- 60 days past due – 2nd late notice
- 90-120 days past due – Final notice warning of collections
- 150+ days past due – Sent to collections
This timeline can vary by hospital and location. Check your hospital’s financial policy to confirm their overdue bill process. Act quickly once a bill is late to avoid collections.
When Hospital Bills Go to Collections
Having an unpaid hospital bill sent to collections can negatively impact your finances:
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Credit damage – Unpaid bills in collections lower your credit score, making it harder to qualify for loans or credit cards.
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Continued credit damage – The unpaid debt can stay on your credit reports for up to 7 years.
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Debt piles up – Collection agencies charge interest and fees, increasing the amount owed.
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Wage garnishment – Debt collectors may gain the right to garnish your paycheck or tax refund.
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Lawsuit – In some cases, collectors sue over unresolved medical debts.
Clearing up hospital bills before they reach this point is critical to avoid long-term credit and financial issues.
Steps To Take If A Hospital Bill Goes To Collections
If an unpaid hospital bill gets sent to collections, take these steps:
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Verify the debt – Request validation from the collector to ensure the bill is valid and yours.
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Negotiate – Try to negotiate a lower payoff amount and affordable payment plan. Get any agreements in writing.
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Protect your rights – Learn your rights under the Fair Debt Collection Practices Act to dispute errors.
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Rehabilitate your credit – Once paid, ask the collection agency to remove it from your credit reports.
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Consider bankruptcy – If you truly can’t pay, bankruptcy may discharge the medical debt. Consult a lawyer.
Addressing the unpaid bill quickly and dealing directly with collectors is key to limiting further financial damage.
Options For Paying Hospital Bills You Can’t Afford
If you receive a large hospital bill you realistically can’t pay in full, you have options:
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Payment plans – Nearly all hospitals offer interest-free installment plans lasting from 6 months to 5 years depending on the amount owed. These allow you time to pay what you can reasonably afford each month.
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Financial assistance – Most hospitals offer financial assistance or charity care programs based on your income and expenses. This can significantly reduce or eliminate what you owe.
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Medical bill mediation – Seek help negotiating with the hospital’s billing department to lower your balance or set up affordable payments.
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Medical credit card – This specialized financing option gives you a fixed term to pay off medical bills interest-free.
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Borrow from 401(k) – You may be able to take a loan from your 401(k) plan to pay medical bills. This avoids early withdrawal penalties and taxes.
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Government programs – Medicaid, Medicare, and disability benefits like SSDI may provide coverage if you qualify.
Don’t let medical bills pile up past due. Seek help early to establish reasonable payment terms you can handle.
Tips For Managing Medical Bills And Avoiding Collections
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Review bills line-by-line and request an itemized statement to spot errors. A surprising number of medical bills contain mistakes.
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Confirm what your insurance covered. Mistakes in processing your coverage can inflate what you owe.
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Negotiate if a bill seems excessive. Many medical charges are inflated and negotiable.
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Set up payment plans for large bills, so you aren’t hit all at once. Most providers will work with you on installments.
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Act early at the first sign of financial difficulty. Waiting until bills become past due limits options.
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Know your rights under consumer protection laws. Use them to your advantage if dealing with debt collectors.
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Keep detailed records of medical bills and payments. This proves what you have already paid if disputes arise.
Staying organized and proactive will prevent medical billing surprises down the road.
Frequently Asked Questions About Paying Hospital Bills
How can I get a hospital to reduce my bill?
Approach the billing department with evidence of financial hardship and negotiate. Offer to pay a lump sum upfront in exchange for a reduction. Set up a reasonable payment plan. If you qualify, request their financial assistance.
What if I just ignore and don’t pay my hospital bills?
Unfortunately ignoring hospital bills won’t make them go away. The balance will keep mounting with late fees, then get sent to collections, potentially resulting in wage garnishment. Work directly with the hospital on a payment solution.
Do I still owe a hospital bill if I didn’t have insurance?
Yes, you are still responsible for paying a hospital bill even if you were uninsured at the time. The hospital may be willing to offer you a self-pay discount or financial assistance if you qualify. If truly unable to pay, bankruptcy may discharge the debt.
Can medical bills appear on my credit report before going to collections?
Normally medical bills will not appear on your credit report until they have gone to collections. However, some hospitals do report overdue bills to credit bureaus prior to collections, so check with the hospital.
How long do I have to pay a hospital bill before it goes to collections?
Most hospitals allow at least 120 days past the due date before sending an account to collections. But the exact timeline varies, so check your hospital’s financial policy or statements for their overdue bill process.
Don’t let billing challenges prevent you from seeking needed medical care. With patience and persistence, workable solutions can almost always be found.
Consulting Financial Help For Medical Bills
For free advice on managing unaffordable medical bills, contact:
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Healthcare.gov – Connects you with financial assistance programs
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National Consumer Law Center – Provides legal and advocacy resources
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National Association of Consumer Advocates – Helps find consumer lawyers in your state
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AARP – Offers mediation help for seniors dealing with medical debt
You don’t need to tackle medical bills alone. Seek out trustworthy guidance and patiently work with hospitals to establish fair repayment plans. With the right help, medical bills don’t need to be financially devastating.
Make consistent payments, avoid credit cards
Large medical providers like hospitals, in particular, will often take what you give them, according to Dvorkin. Pay what you can afford on a monthly basis, and it will be applied to your balance.
“As long as you continually pay something, they usually wont turn it back,” he said. “If you owe $1,000 and you can only afford $25 a month, guess what, theyre going to take it.”
Do not use a credit card to pay off medical debt unless you plan on paying the bill in full at the end of the month, because carrying a credit card balance is costly, while unpaid medical bills dont charge interest.
“Most medical bills, even if theyre delinquent, will not charge an interest rate. So putting medical bills on credit cards is not a great idea,” Dvorkin said.
All nonprofit hospitals in the U.S. are supposed to offer financial assistance programs to help patients who cannot afford to pay for their care, according to Kelmar.
Ask your provider if you are eligible for a discounted care program, Dvorkin advised.
Eligibility criteria vary, and they can be difficult to identify, so it pays to do your research on your providers program.
They can be cumbersome to navigate and require lots of paperwork, but can save patients thousands of dollars.
Don’t pay sticker price
Consider the total amount of the bill a starting point for negotiations.
“A lot of times, medical providers prices are wacky,” Howard Dvorkin, a certified public accountant and chairman of Debt.com, told CBS MoneyWatch.
Dvorkin recalls receiving a bill for a medical incident that required his daughter to be airlifted for treatment. The initial total? $18,000.
He asked the treatment provider what rate they would have billed his insurance company and said: “Thats the rate Ill pay.”
He ended up paying about $5,000, he recalled. “Every provider has the flexibility to reduce rates,” he said.
Ask for an itemized bill to see exactly what you are being charged for. Go through it line by line to identify any errors, such as charges for services you never received.
“Make sure theres not a mistake there. Mistakes are made, people bill for the wrong thing and send bills to the wrong patients sometimes. Dont assume the bill is accurate,” Patricia Kelmar, senior director of Health Care Campaigns for U.S. PIRG EducationFund told CBS MoneyWatch.
You could also inadvertently be billed for a medical test that was ordered but that you never received, for example. “Those are the kinds of things you might be able to flag and have removed,” Kelmar added.
Its also worth asking the hospital if paying a lump sum, as opposed to paying a bill off in small chunks over time, will earn you a discount.
“Talk to the hospital and ask if theyll accept a lower amount in exchange for a lump sum settlement,” Pan of Resolve said. “If you owe $5,000, say, Ill give you $2,500 right now if we can consider this settled and paid in full.”