FreeCreditBot Academy · Medical debt
Hospital Financial Assistance Programs
// content
Hospital financial assistance (charity care)
Nonprofit hospitals are required by federal law (IRC Section 501(r)) to offer financial assistance programs. If your income is below 400% of the federal poverty level, you may qualify for partial or full bill forgiveness — and most patients never know this exists.
Income thresholds (2024 FPL)
| Income (% of FPL) | Typical assistance |
|---|---|
| Below 200% | 100% bill forgiveness |
| 200-250% | 75-100% reduction |
| 250-300% | 50-75% reduction |
| 300-400% | 20-50% reduction |
| Above 400% | Case-by-case (still ask) |
How to apply
- Find the policy. Search "[HOSPITAL NAME] financial assistance policy" — it must be publicly posted by law.
- Download the application. It's usually a 1-2 page form.
- Gather documents. You'll need: proof of income (pay stubs, tax return), household size, and the bill you're requesting assistance for.
- Submit before it goes to collections. Most hospitals pause collections during the application review (30-120 days).
- Follow up in writing. If approved, get the reduction in writing. If denied, appeal — most hospitals have an appeals process.
Important
- Apply BEFORE the bill goes to collections
- Nonprofit = 501(c)(3) — most hospitals are nonprofit
- For-profit hospitals are NOT required to offer charity care
- If denied, appeal — approval rates on appeal are significant
- Charity care is separate from Medicaid — you don't need to be on Medicaid