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Texas Medical Debt Statute of Limitations: What You Need to Know
In the United States, medical debt is one of the leading causes of bankruptcy. Texas is no exception – many Texans struggle with medical bills they cannot afford to pay. Fortunately, the state has a medical debt statute of limitations that can help those burdened by bills they can’t pay. Read on to understand what the debt statute of limitations is, how it works in Texas, and frequently asked questions about it.
What is the Debt Statute of Limitations?
Debt statute of limitations refers to the period after which a creditor can legally sue you for an unpaid bill. Each state has its own statute of limitations that covers different types of debt. It’s essential to understand the medical debt statute of limitations in your state so that you can prevent the creditor from filing a lawsuit and protect yourself from financial harm.
How Does the Texas Medical Debt Statute of Limitations Work?
In Texas, the statute of limitations for medical debt is four years. It means that a creditor has four years from the date they rendered the medical service to file a lawsuit against the patient. The same rule applies for hospital bills, laboratory tests, and other medical services.
After the four-year period passes, the creditor loses their right to sue you for the debt. It doesn’t mean that the debt is forgiven or discharged, but the creditor cannot use legal means to enforce it.
It’s important to note that the statute of limitations clock starts ticking from the date the creditor rendered the service, not from when you received the bill. Therefore, it’s wise to keep a record of all your medical bills, including the dates of service, to keep track of the statute of limitations timeline.
If the creditor tries to sue you after the statute of limitations period passes, it’s important to raise the defense of the statute of limitations. By doing so, you can prevent the creditor from collecting the debt and avoid a lawsuit judgment.
Frequently Asked Questions
1. What happens if I make a partial payment on a medical debt?
A partial payment on a medical debt restarts the clock on the statute of limitations. It means that the creditor gets additional time to sue you for the remaining balance.
2. Can a medical creditor garnish my wages in Texas?
Yes, medical creditors can garnish your wages in Texas, but only if they sue you and win a judgment against you.
3. Can medical creditors sue me after the statute of limitations expires?
No, medical creditors cannot sue you after the statute of limitations period passes. However, they can still report the debt to the credit bureaus, which can negatively impact your credit score.
4. Can medical creditors call me after the statute of limitations period passes?
Yes, medical collectors can still contact you for debt collection purposes even after the statue of limitations expires. However, they cannot sue you in court to collect the debt.
5. Can I negotiate with my medical creditor to lower the debt amount?
Yes, it’s possible to negotiate with medical creditors to settle the debt for a lower amount than what you owe, but don’t forget to get the agreement in writing.
Conclusion
In Texas, the statute of limitations for medical debts is four years. It means that the creditor has four years from the date of the service to sue you for the debt. After the statute of limitations period passes, the creditor loses their right to sue you. Understanding the debt statute of limitations can help you protect yourself from lawsuits and ensure positive credit scores. If you’re struggling with medical debt and facing creditor lawsuits, it’s wise to seek help from a reliable debt attorney.
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Article Summary:
Texas has a four-year statute of limitations for medical debt, which means that a creditor can only legally sue for unpaid bills within four years of the medical service. This rule also applies to hospital bills, laboratory tests, and other medical services. If the creditor tries to sue after the four-year period, the patient should raise the defense of the statute of limitations to prevent the creditor from collecting the debt and avoid a lawsuit judgment. Partial payments restart the clock on the statute of limitations, but it’s possible to negotiate with medical creditors to settle the debt for a lower amount.
