Expert: Kathleen Eads - 6/28/2006

Question
My mother recieved a bill from the hospital for some testing she had to have done several months back.  It differed from the amount that was shown she had due on the form from her insurance carrier.  She disputed the amount since they were trying to get her to pay the difference in the amount they had already agreed to with the insurance company.  They corrected the matter but not until after sending it to the collections dept.  She recieved the corrected amount in the mail yesterday with request of full payment.  She called today and requested a deduction for full payment, or to set up payment arrangements.  She was told they were unwilling to do so based on her assets.  No let me explain my mother had to take early retirement a couple years back due to 2 very large brain anyerisums.  She now is able to dry SS @ a whomping $617 a month.  They have depleted much of their savings, and while they have great credit, I dont feel that is any reason not to allow payment arrangements or allow a reduction of the bill as this same hospital has done previous.  The guy that she spoke to on the phone continued to tell her that he was not threatning her, but if she did not pay in full within 31 days it would not only go on her credit report, but that they would start adding additional charges, interest, and pentilties.  Is there anything that can be done to help her in this situation?  She is trying to figure out a way of paying this $740 bill with an income of $617 within the next 31 days.  

Answer
Move past the guy she talked to and ask for a supervisor.  They will normally work with you, and based on the problems she had with the billing and the amount outstanding, I don't know why they wouldn't work out an amicable payment schedule.  

Have her put something together that will take care of this in a short time period.  Look at her income and offer something to the hospital that will take care of the bill in the fastest way possible, but also leaves her room to live on.  

Creditors always want it paid in full ASAP, but they know that's not always possible.  

Hope you get it worked out,
Kathleen Crabtree-Eads