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anonymous246349 Asked September 2014

Does a person living in nursing home, has Medicaid, SSI, $50/mo per needs-pay non-goverment debts?

The person owes credit card, cable and past medical debt (5 years ago!). Credit card is writing off. Received court papers for medical debt. Owes past cable debt (prior to nirsing home placement). I understand garnishment of SS can only be government entities. Can garnishment occur of the person's personal needs money?

igloo572 Sep 2014
Their personal needs allowance - since it comes from their SS - cannot be garnished. If the PNA is in a trust account @ the NH, it would be hard for the creditors to even try to figure out how to do it too. Only the NH can withdraw for one of their direct vendors (like the beauty salon) or whomever is the patient representative on file (which is probably you).

If you're really worried about all this, you could go and withdraw a bunch of $ from the NH trust allowance account and go an buy her lots of future items she may need - like 10 pairs of pi's; or a dz. housecoats, etc. Just keep the receipts.

If they are on Medicaid, they meet the standards of being impoverished. If they don't have a home, there is nothing a court ordered judgement can do. The only problem could be if you or another family member signed off to be financially responsible when the elder went into the hospital or had a doctors visit. If that didnt happen then not your problem.

If you are the DPOA, you can send a registered letter to the court in advance of the court date, stating that Jane Smith (then put in the hearing details) is a NH resident on Medicaid and due to her physical limitation and limited cognitive ability cannot be at the hearing. You sign it as "Mary Jones in her limited capacity as DPOA for Jane Smith". Mail it certified mail with the return receipt card (the green postcard) from the Post Office. Runs under $ 10.00 too. best 10 you've spent too. If you are her DPOA you kinda need to do this as it's your duty as DPOA.

If in the future, like in January, 2015 or January, 2016, you get a 1099-C from the creditors, do a new post on this site about it. There are things you need to do IF she gets those. But don't worry about it unless that happens!

vegaslady Sep 2014
Contact the creditors and explain the situation. They'll probably just write off the debts as uncollectible.

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