It may please you to learn that there are special laws in place that protect your Social Security disability check.
If you are not on disability, there may still be a few other things on this page that can assist you.
Did you know that debt expires? And after it expires creditors will keep calling you and pretending you owe them money?
Did you know that if you if you send a debt collector $1, you can turn an old, expired debt into a new debt and start owing money all over again?
Did you know that you can get a student loan disability discharge even if you were not approved for disability?
There are a whole lot more things the debt collectors will never tell you, but you may be really glad to know.
If you are low-income or disabled and have student loans, you may have several good options. You do not need to be on Social Security. How to Get a Disability discharge on Student Loans
If You Are On Social Security
There are special rules in place to protect your Social Security check. Please learn more about Who Can Take My Social Security Check? and How to Protect Your Social Security Check from Debt Collectors.
What Happens if I Don’t Pay Debt?
Here’s what happens: What Happens if I Don’t Pay Debt?
Dealing with Debt Collectors
If your debt is from a long time ago it may be expired. Even if your debt is recent, there are still a few things on this page it could be helpful to know: How to Deal with Debt Collectors
If your only income is from Social Security, and you don’t own any assets, you may be considered “judgement proof.” This means debt collectors cannot take your money. Learn more: How To Be Judgement Proof
If you are going to tell creditors that you are collection proof, make sure you also take these steps to protect your Social Security check
Credit Ratings for Housing
If you have past debt or poor credit due or evictions to your disability, you may be able to request a reasonable accommodation for exception to credit policies when applying for housing. Learn more: Epic Master List of Disability Accommodation Letters for Housing
All of the above applies to medical debt as well. Here are a few more solutions for Medical debt:
If you qualify for Medicaid or Medi-cal you may be able to get all medical debt from the past three months paid for. Plus, you won’t get any debt in the future, because Medicaid covers all expenses. Many people think they can’t qualify for Medicaid, when they actually can. Please check out: How to Apply for Medicaid Twelve Different Ways and How to Respond When You Are Told You Can’t Get Medicaid. If you are on Medicare, check out: How to Escape Medicare Fees.
The Sisters Undercover were not disabled or low income, but they were still able to eliminate most of their medical debt: How I Cut My Medical Bills By 80%
Back Billing Medical Bills
Medicaid: In many states, Medicaid can back bill for 3 months, so if you have recent medical debt and get approved for Medicaid, you may be able to request that the doctor still bill Medicaid.
Medicare: After you get approved for disability, in some cases you will be able to get retroactive Medicare, covering a time period before you were approved. This is not true in all cases, it depends on how long you were applying and when your onset date was. If you get retroactive medicare, your providers can send past bills to Medicare.
In some cases, there are some special IRS regulations that help people with disabilities. If you owe the IRS money, in some cases you may be able to go back and amend past tax returns.
Financial regulations are complex and can change. Please double check and do more reading before making any important decisions. A few good links:
- Social Security & Debt Collection from NOLO
- Social Security & Bank Accounts – Consumer Protection Financial Bureau
- Consumer Protection Financial Bureau website
Thanks for Reading
🌸 This page is part of the free online guide: How to Be Poor in America
🌸 Page Updated: 10/1/19
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