Expert: Ray A Miller - 12/7/2008

Question
Hello,first than you for taking the time to read this.I have 2 questions.First my husband & I had our apartment for 15 months..he is now in the army so we moved..well we were on budget billing for our electric bill..I didn't realize that you must pay the actual amount of energy used when you turn off service..so we now owe $623..I just got the final letter saying that it will soon go to collections..once it does will I be able to make payments?(because the utility company won't)..& once I pay it will I then be able to rent again?Or will it still hurt my renters history even once its paid..?
My last question is I have about 8k in medical bills..they are all at the same place..I haven't received a letter from them in about 6 months..the last one said that they might pass it to an attorney for judgment..they didn't say that it would just that its what they recommend..the bill is almost 3 years old..i cant afford to pay them..I can afford payments but it wouldn't pay all them off for at least 5 years..should I be worried about something happening with this?
Thank You!

Answer
These are hard questions.  I can not say as to what a collection agency will do about payments on a past due power bill--They are all different.  Having said that, most will but, you have to weight making payments against ruining your credit.

As to your medical bills, while they are not in collections would be a prime time to apply for charity. That would give you a great deal of breathing room and would be much better than a judgment.  I certainly hope this has been helpful.