Can a collection agency cause my HSA insurance savings account to be put on hold?

UPDATED: Jul 29, 2011

Advertiser Disclosure

It’s all about you. We want to help you make the right legal decisions.

We strive to help you make confident insurance and legal decisions. Finding trusted and reliable insurance quotes and legal advice should be easy. This doesn’t influence our content. Our opinions are our own.

UPDATED: Jul 29, 2011Fact Checked

Get Legal Help Today

Compare Quotes From Top Companies and Save

secured lock Secured with SHA-256 Encryption

Can a collection agency cause my HSA insurance savings account to be put on hold?

I am currently unemployed and do not have any other insurance for medical expenses.

Asked on July 29, 2011 Connecticut


FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney

Answered 11 years ago | Contributor

In most states one's HSA insurance savings account for medical benefits is exempt from levy due to a judgment under statute. If you are concerned about a levy on this account about a judgment or debt that you owe, I would not be overly concerned.

To resolve the situation about a collection agency bothering you about a debt or judgment owed, you might consider trying to work out a written agreement with the collection agency to make monthly payments to pay down the debt in an amount that you can afford.

If there is a judgment against you and your HSA insurance savings account is levied upon for payment of the obligation, you should immediately serve a claim of exemption to put a hold on the levy. You will then get a hearing date before a judge who will make a ruling on your claim of exemption.

Good luck.

IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

Get Legal Help Today

Find the right lawyer for your legal issue.

secured lock Secured with SHA-256 Encryption