Categories: Resources

5 Tips to Pay Off Medical Bills

Unfortunately for many Americans with disabilities, mounting medical bills are a part of life. The situation does not have to be bleak, though. It is possible to not only pay off medical bills, but prepare for emergencies in the future. Here are the five biggest tips we can offer.

Check for Mistakes

The Medical Advocates of America finds that 80% of medical bills contain mistakes. Check for:

Duplicate Charges
Cancelled Tests or Procedures
Incorrect Patient Information
Upcoding Charge
Unbundling of Charges
Incorrect Quantity
Operating Room and Anesthesia Times
Coding Mistakes
Insurance Errors

Avoid Credit Cards

It’s highly recommended you don’t pay off medical bills with credit cards. According to a 2014 study, 1/3 individuals took on credit card debt to pay medical bills, nearly half depleted their savings to pay medical bills, and 44% had a negative impact on their credit because of medical debt. Pay your medical bills with a debit card or checks.

Double Check Interest

Another reason to avoid paying medical bills with credit cards is because of interest. For example, a $4,000 medical bill on a credit card at 18% interest with monthly payments of $200 for two years would cost you around an additional $800 in interest. Also, some hospital payment plans charge interest.

Ask the Hospital to Help

Hospitals have been criticized for ineffectively publicizing charity programs that pick up all or part of the cost of care. These programs won’t be offered to you. As a patient, you must actively seek them, along with hospital financial counselors and patient advocates.

Build Up Emergency Savings

This is our last, most obvious, and most important tip. Whether or not you have insurance, it’s important to always have future emergency savings on your mind regarding your spending habits. Don’t put so much of your money into savings that you’re living uncomfortably. Just enough that if an emergency happens, you’ll be able to pay medical bills and still make rent.

As an individual with a disability, you have the option of utilizing a fiscal agent to help you with your budget. Acumen Fiscal Agent is dedicated to helping adults with disabilities in Arizona manage their expenses responsibly. Contact us today.

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