Let me introduce you to the world of medical debt.
Most of us have a narrow view of how hospitals work.
As far as we are concerned, hospitals are places we visit when we fall ill and where doctors work on us to make us healthy again.
We forget that the hospitals are institutions that consist of administrative, finance and other departments as well.
The doctor treating the patient is just one aspect of the functioning of the hospital.
Why this information is important? Most of us are hesitant negotiating our debt with our medical service provider presuming that it as an immoral and unfair act.
The immorality involved in employing a settlement company to negotiate with a doctor who knows a lot about the internal organs of the body but very little about finances - that is our biggest worry.
There's no need for you to worry about morality.
Hospitals have billing departments and bill collection agencies on their payroll.
These persons are not medical experts.
Rather, the experts in the world of finance, billing, collection and debt management.
Chances are high that you will end up feeling confused if you start negotiating with these experts.
That is the reason why it is very important to employ debt settlement agencies to negotiate with medical service providers as well.
The second reason why people are hesitant to opt for debt settlement for their medical debts is that they feel hospitals would not encourage such a move.
Well, no service provider will ever be interested in offering a heavy discount to facilitate repayment.
Hence, if you walk into the service provider's office and ask whether settlement is available, you can rest assured that settlement will not be available.
It is only when you indicate that you have no choice but to file for bankruptcy unless settlement is offered will the hospital open up and offer various options.
There are many persons who tried to avoid a settlement because that would be an unfair degradation of the value of the services of the hospital.
Some persons may feel so.
However, others point out that hospitals constantly overcharge and levy a lot of overheads to the actual service provided.
In such a scenario, it is not unfair to seek a discount on the cost of services provided.
Considering all this, do not opt for bankruptcy.
Instead, opt for settlement or other such debt reduction measures.
If the medical service provider does not encourage you, you can always opt for bankruptcy as the last resort.