What Happens When You Get Sick, and How It Impacts Your Credit

The millennial generation is more likely than previous generations to cope with chronic health conditions.


According to a survey conducted by The Harris Poll on behalf of CNBC Make It, 44% of millennials born between 1981 and 1988 have been diagnosed with at least one chronic health condition.

Both financially and emotionally, health conditions can take their toll. Expenses for medical treatment can seem endless for a long time. Even the most essential treatments affect your credit score because of rising health insurance costs.


Medical bills, pharmaceutical prices, and doctor’s office invoices continue to pile up when you are living with a chronic disease or disability, often beyond what can be managed on a long-term basis. In a recent report from Moody’s Analytics, they reviewed data from Blue Cross Blue Shield Health showing that millennials with chronic health conditions can also see their annual income drop by $4,500 per person due to medical expenses and even reduced work hours or job loss due to poor health.

Here are some financial options you can consider if you have a chronic health issue or disability.



Even though it seems simple, balancing personal medical expenses is an essential first step. When you are living with a chronic illness, creating, managing, and sticking to a realistic budget are essential to your financial and physical well-being. Consider cutting out extraneous expenses wherever possible, such as reconsidering that $4 cup of coffee every day. Think about how you can lower unnecessary expenses with your family, roommates, and loved ones.



Consider a debt consolidation loan if you have accumulated debt from multiple credit lines and lenders. With these loans, you can pay off several loans in one lump sum, often at a lower interest rate, lower monthly payment, or both.



You can work with the collection’s agency or debt settlement company to see whether you can get possible exemptions or more flexible terms if you have already sent your past-due expenses to a collection’s agency, and you have not yet been able to apply for a consolidation loan. In the face of such high medical costs, financial intermediaries and care providers are usually more empathetic than you may think. Examine your medical bills thoroughly for upcharges or mistakes, be persistent to work out an affordable payment plan, and ensure an open line of communication. Seek professional assistance when negotiating.


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