Impact of Ignoring Medical Bills

It can easily happen that you go to the doctor or get some kind of medical treatment only to find out afterwards that you cannot afford to pay for the treatment that you received. In some cases, the treatments might be relatively small. In other cases, they can be large and extremely expensive.

Certain medical procedures must be paid for out of pocket even if you have medical assistance coverage, as not all medical procedures are covered by medical aid.However, if you receive your bill and refuse to pay it, it can have significant consequences that can affect your future  financial stability.

Accumulation of Interest and Penalties

As with any other bill that goes unpaid, the service provider or lending institution may very well start applying interest and penalties to the outstanding balance. As a result, the longer the bill goes unpaid, the more it grows. 

Thanks to these additional charges being added, these penalties can be quite substantial, significantly increasing the overall owed amount, which over time can make the debt completely unmanageable and push you into further financial hardship.

Damage To Your Credit Score

One of the worst consequences of unpaid bills is the potential impact it can have on your credit score. When your credit score gets knocked down, it can severely affect your ability to get approved for loans and financing in the future. 

When unpaid medical bills are reported to credit bureaus, they will begin to appear on your credit record as an outstanding obligation. This gets even worse if a judgement is put against your name, making you look like a high-risk lender and making it more expensive and difficult to get credit going forward.

Legal Action and Debt Collection Could Ensue

If your bills go unpaid for long enough, many medical providers will seek the assistance of debt collection agencies to recover the unpaid bills. These debt collection agencies often report you to the credit bureau, and it can result in a judgement against you in court. 

Once such a judgement is obtained, a creditor can take further steps to secure that debt, suing you for your assets or a portion of your wages. These types of legal proceedings are also expensive for you and can be time-consuming, adding even more of a financial burden to the one you already have.

Limiting Your Access To Future Healthcare

Many medical practitioners will outright deny you further treatment if your bills remain unpaid. In some cases, healthcare providers will refuse to treat patients with outstanding debts even if they’re to other medical practitioners. Therefore, they’ll requirie upfront payment before they will treat you. This can put a damper on your medical treatment options, forcing you to look far and wide for someone who will help you.

Ignoring your medical bills can have serious consequences, from accumulating interest and penalties to damaging your credit score and even leading to legal action. Unpaid bills can also limit your access to future healthcare, as many providers may refuse treatment without upfront payment. At Zero Debt, we understand the burden this can place on your financial stability, but you don’t have to face it alone. We specialise in helping individuals overcome their debt challenges, including unpaid medical bills. Don’t let debt control your future—reach out to us today for professional debt counselling and find the right solution to regain control of your finances. Contact us now to start your journey to financial freedom. Contact Us

FAQs and Answers

1. What happens if I ignore my medical bills?
   Ignoring your medical bills can lead to accumulating interest, penalties, damage to your credit score, and potential legal action.
2. Can unpaid medical bills affect my credit score?
   Yes, unpaid medical bills can be reported to credit bureaus, lowering your credit score and making it harder to secure loans in the future.
3. Will medical providers refuse to treat me if I have unpaid bills?
   Some medical providers may deny treatment or require upfront payment if you have outstanding debts with them or other practitioners.
4. Can unpaid medical bills result in legal action?
   Yes, unpaid bills may be sent to debt collection agencies, resulting in legal action, court judgements, and wage garnishments.
5. What should I do if I cannot pay my medical bills?
   Contact a debt counselling service like Zero Debt to explore solutions such as debt review or consolidation to manage your finances effectively.
6. Can medical bills be included in debt review?
   No, medical bills are not considered credit agreements under the National Credit Act and cannot be included in debt review.
7. How can Zero Debt help with unpaid medical bills?
   Zero Debt offers professional debt counselling to help manage financial obligations and find tailored solutions to regain control of your finances.
8. What are the consequences of a judgement on unpaid medical bills?
   A judgement allows creditors to secure debts by suing for assets or wages, adding further financial strain and legal complications.