Even if you aren’t driven into bankruptcy, unpaid medical debt will eventually show up on your credit report – resulting in a lower credit score that further degrades your financial health. The Consumer Reports survey found that nearly one in five Americans has suffered a credit score drop related to unpaid medical bills.
Medical bills are particularly tricky because of the confusing billing and insurance systems. Errors and miscommunication are common. Of the 30 percent with unpaid medical bills in the Consumer Reports survey, 24% didn’t understand that they owed any money and 13% never received the bill at all. Another 10% had an already-paid bill sent to collections by mistake.
For more information on the issues surrounding medical debt, please contact RIP Medical Debt.