Doesn't sound bad right?

[tsmead7]

Here's our situation, short and sweet.
We have no credit cards, no loans, own our vehicles outright.
ONLY HUGE DELEMA IS MEDICAL DEBT and MEDICAL COLLECTIONS.
Because of this, both our credits are in the tank. Way in the tank.
We rent a home (1400 a month). That could pay for a very nice mortgage. Doesn't sound bad right?...Wrong.
We can't pay these debts for 2 reasons. 1 We don't make enough to make effective resolution. 2, Where we live, we're lucky to be paying what we are in rent.
So far we can't get credit cards, nothing really to sell, we can't get a loan and have very little savings. We know the money we pay in rent could easily go to a mortgage. An even smaller mortgage even. I'm now debating filing bankruptcy. So I'm asking for thoughts. All and any, good or bad. I just don't know where to turn anymore honestly.

[Gailete]

Sorry to hear about your situation. Credit cards will NOT help you, they would only tend to make you go further in the hole. Why would you need a loan when you are already in debt?

How long ago were these medical debts made? Did you apply for Medicaid at the point they were made? Did this involve hospitalization/s ? If so, did you apply for charity care or help to pay them off? If they are your big problem, we need more info to help you. My husband had a non-covered hospitalization before Obamacare came into force. He flat out told everyone that came near him that he couldn't pay them anything so it was their choice to take care of him without pay. We got a bill for like $7K from the hospital. We applied for the hospitals charity care and never got anything saying he was accepted, but we never got another bill again. The thing with medical bills is you have to be prompt with your telling them of your need for help. Ignoring them doesn't help, just makes it worse. The sooner you set up reasonable payment plans the better. So it would help to know what you have tried with these bills as we all have different experiences that contribute to a large amount of knowledge here.

Are you saying that $1400 is a cheap rent for your area? Mind boggling.

If we had more info like income and expenses we could perhaps help.

[bjl584]

We need more info.

What is your monthly take home?
Is a second job a possibility?
Is moving to a lower cost of living area a possibility?
Have you tried to negotiate with the collectors?
Where I live, I don't think that medical debt can affect your credit. Where are you located?

[Smallsteps]

I have to agree with Gailete the sooner you deal with a problem the better.

Better late then Never can you research charity care applications or discussion with whomever is holding the debt for a repayment plan or negotiate with?
I live in a high rent area too and 1400 would be a good deal here and I too know that so many paying these large rents think fixing that will fix the rest of your finances but in reality debt ignored is only growing and becoming more scary.

[Benderz]

There is a good chance the medical debt could be negotiated. Have you spoken with the hospital administrator? I would consider stop paying or paying the minimum, saving, and negotiating lump sum pay offs.

Debt is not a friend. I strongly suggest not borrowing for any reason until you heal for a year or two and then consider buying a home.

[disneysteve]

How much do you earn?
What are your monthly expenses other than rent?
How much debt do you have?

I'm not sure why you even mention credit cards, other loans, or a mortgage. You can't afford the debt you already have. You certainly don't need any more.

There are only three ways to deal with debt: more income, less spending, and bankruptcy.

We can't give any opinion about bankruptcy without knowing the details of your situation.

[TexasHusker]

Medical bills can be negotiated downward substantially or written off altogether. It kind of depends on how long ago the debt was incurred. Collections firms don't review bills for appropriate charges, duplicate billings, etc.

The best time to negotiate medical bills is BEFORE you need the service. The second best time is immediately AFTER you have the service. The worst time is months down the road.

I know of a company here locally that might be able to help you with your bills. They will charge you a fee based upon how much they can negotiate off of the bill(s).

PM me if this is of interest.