Reality...It Sucks Sometimes!!!

[gthang12]

What is the name of your state? Illinois

My friend has posted some questions for me here and everyone has answered them with the best advice! I greatly appreciate that but now I would like to ask another question (He is letting me finally type on my own!!

Keep a long story short I had a bankruptcy discharged back in January and during and after the bankruptcy I incurred medical debt due to cancer, blah, blah, blah ( I know shouldn't laugh about it!). I am back on my feet (somewhat) and want to start paying off some of these medical debts which has incurred a little over $2,000, granted its not much but I am in a position to start paying them off. Now they have already reached collections (yes, stupid me) and have been sitting in collections for quiet sometime, but all I need now is a bankruptcy that is discharged and medical bills on my credit report with a possible judgment against me. I am truly serious about paying these bills but can do it with a reasonable payment plan. I really do not know nothing about collections and would like to call them tomorrow to set up a payment plan. What would be the best way to approach them? Some people tell me dont give them any personal information, others tell them pay them only ten dollars and send it as a money order, but I want to get this over with and at least have a clear concsious that I am paying them off. Besides I do not need to get sick over this. It was enough that I went through my bankruptcy and granted it is a relief having the banktupcty discharge but thats life for some I guess. Any advice would be appreciated! Thank you again!!!

 

[Ladynred]

Since it's already in collections, you've already got the double whammy of that plus the bankruptcy. If you were to only try to pay them $10 they will certainly sue you, they don't want to wait that long to get paid. Those kinds of payments just don't work.

You can certainly try to negotiate a payment plan, but keep in mind that they will pressure you to get it paid off as quickly as possible and probably will demand all of it up front -- and that's their right. No "agreement" done over the phone is worth a thing, if it's not in writing, it never happened. So, you want to send them a letter offering a reasonable payment plan - the shorter the better. If they agree, get that in writing too, and make sure it gets signed by someone with the authority to make it stick.

They may very well insist on automatic bank drafts. The ONLY way you should allow that is by opening a bank account is bank NOT your regular bank. Keep in that account ONLY the amount you agreed to pay them each month and not a penny more. This protects your regular accounts.. and lets them have their way with an auto draft.

IF they''ll take other forms of payment, do NOT use your personal checks !!

 

[TigerD]

Have you talked to your BK attorney about this? Some of that debt may have been discharged.

 

[gthang12]

Thank you ladynred for the quick response! I greatly appreciate it! Debtcollector, thank you. As for your question debtcollector, I was hospitalized three days before I filed and looking back now on my creditors list those bills were not included and my discharge went through in Janurary. Im not sure if Illinois is one of those states that if you did not include a creditor, there still considered discharged? I do not know if that makes sense or not. Curious, since my bankruptcy is discharged and i do not have to worry about any other creditors except the medical ones I have now (collection agencies) can I re-open the case to include the ones I missed prior to the bankrucpty (3 medical bills)? If so, would that be taking a chance when re-opening it? Sorry if I'm not making any sense. Guess thats why I am here! thanks again guys!

 

[Ladynred]

Debts you incurred BEFORE you actually filed would be included in your discharge. Anything post-petition you're stuck with. You could certainly re-open your case to add them, it might be allowed, but it'll cost you about $150 to find out. You might call your BK attorney and find out if unlisted pre-petition debts are considered discharged in your district.