Medical collection accounts are treated like any other collection account

Dear Experian,

My credit report is clean except for past due medical bills. I would like to know if having medical bills past due is going to prevent me from having a good credit score and good credit. I have always been told not to worry about paying any medical issues on my credit report. Is that true?



Dear YGR,

Unfortunately, it is not true.

Unpaid medical debts are treated just like any other unpaid debt. They are simply debts you owe to the hospital, doctor, health clinic, or dentist, rather than to the bank or credit card company.

The debt likely will appear on your credit report after it has been turned over to a collection agency. The status of the collection will be updated to “paid” when you no longer owe a balance.

For privacy reasons, Experian lists such collection accounts only as “medical collection” on the report it provides to lenders and other businesses. No medical information is provided.

The report you receive directly from Experian will list the name of the collection agency or medical facility reporting the debt, as well as contact information. That information is important to you so that you know who is reporting it and can contact them to resolve any payment issues.

Medical collection accounts will have a negative impact on your credit scores, just like any other collection account.

Thanks for asking.

- The “Ask Experian” team

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