“Medical Bills and Credit Worthiness”
Over the years, I’ve worked with a lot of renters whose credit scores disqualify them from mortgage eligibility. I’ll always ask, “How’s your credit?” and I’ll be assured almost to the person that their credit is ok. Some are honest, some are ignorant of what’s involved with maintaining a healthy credit score, and some just don’t pay their bills.
During my first year in the business, I placed a renter that the listing agent begged his client not to take a chance on, but the letter my client wrote at my behest, and the recommendations she received from previous landlords and her employer won out. In the end, she paid her rent, in cash, and either on time or early; walking it across the common driveway to share a cold drink and a kind word with her landlord.
What was it about her credit report that made her so undesirable? Medical bills and plenty of them. All it takes is a long illness or serious injury combined with little or no insurance, or in the case of my client, insurance that didn’t cover her illness, to put my client and who know how many thousands of others like my client, behind the financial 8 Ball.
The average working person sees the bills piling up with no way to pay them in full but because they still need to eat and have a place to sleep, they give up without attempting to make any payment on their medical bills. Too bad no one told them that if they made arrangements with their medical provider to pay even $10 a week on a steady basis, they wouldn’t be turned over to collection agencies, and their credit scores would be left intact.
Need help cleaning up your credit to qualify for a mortgage? A reputable mortgage banker can give you the tips you need to raise your credit scores and get you on the path towards home ownership because with interest rates at historic lows and the market starting to rebound, there’s no better time to buy than now!
If you would like me to provide you with contact informaton for mortgage bankers, please reach out to me, and I’ll be happy to help you.
Do Unpaid Medical Bills Go on My Credit Report by Barb Nefer