Dealing with medical bills may be stressful. A surprise medical visit, an unexpected hospital stay or other emergency care might put a strain on your finances. You may be wondering what to do, but several options are available to help you manage medical costs and find a solution for your situation.
Whether you’re looking into payment plans, medical credit cards or personal loans in Greenville, South Carolina, keep reading to figure out what steps you could take next.
Check for billing errors
Before you submit a payment to a healthcare provider, closely examine your medical bills. You might have been mistakenly charged for a service you didn’t receive or billed twice for the same item. Ask your healthcare provider for a detailed copy of your bill, also called an itemized bill. An itemized bill shows every charge, which may make it easier to check.
If something seems off, try calling the billing office. Ask them to explain the charges or fix any errors. Calling might take a little time, but it could save you money.
You could also make sure your insurance was billed correctly if you have coverage. Check the explanation of benefits (EOB) you receive from your insurance company, which explains the services they cover. Look for any discrepancies between the EOB and your medical bill. If you notice anything amiss, contact your insurance company.
Inquire about a payment plan
Once you’ve confirmed that the bill is correct, you could talk to the healthcare provider about setting up a payment plan. Healthcare providers are often aware that it may be difficult to pay large bills all at once.
A payment plan allows you to spread payments over a set period, so you don’t have to pay the full amount right away. Some plans include interest (the cost of borrowing) while other plans are interest-free, meaning you won’t pay extra if you make your payments on time.
The minimum amount you’ll need to pay each month in a payment plan depends on how much you owe and what you agree to with the provider. Most of the time, the full bill is split into smaller monthly payments until the balance is paid off. Be sure to ask if there are any extra costs or fees associated with the payment plan. This way, you could make a fully informed decision about whether the payment plan fits into your budget.
Think about a personal loan
If a payment plan won’t cover your full bill or you have other expenses adding up, you might consider a personal loan. A personal loan is a lump sum of money offered by banks, credit unions or online lenders. If you qualify for a personal loan, you could use the money to cover your medical bills and then pay it back over time in fixed monthly payments with interest.
There are two types of personal loans: secured and unsecured. A secured loan is backed by something of value you possess, like a car or house, which serves as collateral. If you fail to repay the loan, the lender has the right to claim the collateral to recoup their money. Because of the collateral, a secured loan may have a lower interest rate and a higher borrowing amount. An unsecured loan doesn’t require collateral. In this case, the lender assesses your credit score, credit history and income to decide if you qualify. Since there’s no collateral, an unsecured loan may have a higher interest rate and a lower borrowing amount, depending on the lender.
Loan and repayment terms may vary by lender, so it’s a good idea to do your research before you sign a loan agreement. Look at the repayment terms, the length of the loan repayment period and the total cost, including interest and fees.
Explore a medical credit card
A medical credit card is another option if you need to pay for medical care right away but could use the flexibility of paying off the cost over time. Medical credit cards are made specifically for health expenses. Some medical credit cards offer special financing, such as no interest if you pay the balance within a set time. A no-interest special offer may be helpful if you know you’ll be able to pay off the bill during that initial promotional period.
However, if you don’t pay off the balance by the end of the promotional period, the lender may add additional charges. As with any other credit card or a personal loan, missing a payment could also lead to extra costs and potentially damage your credit score.
Look into a financial assistance program
If you’re struggling to pay your medical bills, local, state and national resources may help. A few groups you could reach out to include.
- Dollar For: An organization that guides patients through the hospital financial assistance process free of charge.
- Undue Medical Debt: A nonprofit that buys and erases medical debt using charitable donations.
- South Carolina Department of Health and Human Services: The state department that administers the Healthy Connections Medicaid program, which may assist with medical costs.
Do your best and prioritize your health
Medical bills often feel like a heavy weight, especially when they arrive during a challenging time. The key is to stay calm, research the options available to you and take action. The sooner you start, the sooner you may be able to find a solution for paying your medical bills and focusing on your health.
Notice: Information provided in this article is for information purposes only and does not necessarily reflect the views of digitalconnectmag.com or its employees. Please be sure to consult your financial advisor about your financial circumstances and options. This site may receive compensation from advertisers for links to third-party websites.
Sources
https://www.cms.gov/medical-bill-rights/help/guides/bill-errors
https://www.experian.com/blogs/ask-experian/medical-bill-payment-plans/
https://www.consumerfinance.gov/ask-cfpb/what-should-i-know-about-medical-credit-cards-and-payment-plans-for-medical-bills-en-1827/
https://dollarfor.org/
https://unduemedicaldebt.org/
https://www.scdhhs.gov/members/getting-started
