Homestead mailing list

[Lisa Perry <lkvp AT floydva.net>]

Gene GeRue wrote:

> But Shan's parents, strapped with debt and obligation, are among the 
> untold millions of people in rural China caught in a brutal cycle. 
> Studies show that medical costs are the leading reason that people 
> fall into poverty in China. Many city residents still have some health 
> benefits, but peasants now fall under a pay-for-service system. 
> Sickness can mean bankruptcy.
>
> Mr. Yang went to Beijing in part to earn enough money for medical 
> treatment. 

This is not that differerent from our country.  Medical bills should not 
impact a person's credit.  It could be every medical bill or perhaps 
those over a certain threshold of $500-$1000.  I have looked at too many 
credit reports over the years that have low scores from medical bills 
that have gone to collections.  This almost happened to me this past 
year.  I broke my arm last February and the bill was $2500, I'm 
uninsured and could only afford to pay in installments.  I spoke to the 
office manager several times about my account and even though I was 
making regular payments, my account nearly went to collections when it 
was 90 days old.  I specifically spoke to the office manager to avoid 
the collections scenario because I knew I couldn't pay my debt in 90 
days.   People with several medical collections are often denied 
mortgage loans or given loans with much higher interest rates.

On a separate issue, a good friend of mine recently learned that his 
wife has breast cancer.  It's a rare and aggressive form and after a 
mastectomy she will have chemo for 18 weeks because the cancer was in 3 
lymph nodes.   The chemo treatment costs $13k per week!  I was astounded 
to learn how expensive it was.  Her insurance is only covering 60% 
because she went to a doctor that was not on her provider list. 

And last, a friend of my husband, his wife died this past year also from 
breast cancer and left him $50k in debt.