Insurance

Can You Pay Medicare Online With a Credit Card?

Can You Pay Medicare Online With a Credit Card? A federal health insurance program called Medicare is available to everyone over 65 and some younger folks who have specific medical conditions. Additionally, most of Medicare’s components have a premium; however, some, like Part A, may not.

Thankfully, Medicare has developed a variety of convenient payment options. Continue reading to find out how much the various Medicare components cost, whether credit cards are accepted as forms of payment, and other acceptable payment options.

Which Medicare Parts Do You Pay For?

Medicare Part A

In most cases, if either you or your spouse paid Medicare taxes for at least ten years, you won’t have to pay monthly premiums for Medicare Part A (also known as “premium-free Part A”) (40 quarters).

Depending on how long you paid into Medicare while working, your monthly Part A premium for 2021 might range from $259 to $471 if you need to purchase it. It ranges from $274 to $499 per month for 2022.

Medicare Part B

The cost of Medicare Part B is a monthly premium that you must pay, but it is automatically withdrawn from your Social Security, Railroad Retirement, or Office of Personnel Management payments. If you don’t get these benefits, Medicare will mail you a bill every three months.

Medicare Part B’s monthly premium in 2021 will be $148.50 and $170.10 in 2022 but could be higher if your annual income is over $91,000 and you file an individual return, or $182,000 and you’re married and file jointly. This extra amount is called an IRMAA (income-related monthly adjustment amount) and is sometimes referred to as a Medicare surcharge.

Medicare Part C

You can obtain your Part A and Part B benefits from commercial insurance companies through Medicare Part C, sometimes known as Medicare Advantage (MA) plans. If your MA plan has a premium (many don’t, but some do), you can either have it withdrawn from your Social Security check or pay the insurance company directly.

In 2022, the typical Part C premium will be $19 per month.

Medicare Part D

Private insurance companies offer Medicare Part D (drug coverage) policies, and the monthly premium varies depending on the plan. To join a Medicare prescription medication plan, you must have Part A or Part B. If you would like your premium to be withdrawn from your monthly Railroad Retirement Board or Social Security payment, or if you’d prefer to be billed directly.

If your income exceeds $88,000—or $176,000 if you file jointly with your spouse you’ll pay an IRMAA in addition to your premium.

How Often Do You Need To Make Payments?

To pay your Part A premium, Part B premium, and any Part D or Part B IRMAA payments if you want to pay Medicare directly, you will get a bill from Medicare in the form CMS-500.

Medicare will cost you every three months if you only purchase Part B. Medicare will send you a monthly bill if you have to pay a Part B or Part D IRMAA or have to purchase Part A. If you are billed quarterly, your payment covers the coverage for the following three months or the following month.

If it’s your first bill, if the premium amount changed, or if you skipped a payment, your Medicare bill may include premiums from previous months.

Medicare Payment Methods

Medicare enables you to pay your premiums via debit or credit card charge, automatic deductions from your Social Security benefit, arrange an electronic bank transfer, mail a monthly check, or set up an automatic deduction from your paycheck. Keep in mind that you must pay Medicare directly for your Part A (if necessary), Part B, and IRMAA premiums.

However, Part D medication plans, Medicare Advantage plans, and Medigap plans provided by commercial insurance providers could have various payment schedules. Ask the insurance provider if credit card payments are accepted.

Pay Medicare With a Credit Card

To pay your Part A premium, Part B premium, and Part B and Part D IRMAA payments (if you are obliged to do them), you will receive Form CMS-500 from Medicare. By connecting to your safe Medicare account, you can pay your monthly payment with a credit card online. You’ll need to make an account if you don’t already have one. After logging in, choose “My Premiums” and press “Pay Now.” Enter the amount owing after selecting a payment option—in this case, a credit card. To complete the payment, you will be taken to the Pay.gov website of the US Treasury. 10

Medicare accepts credit card payments as well as checks sent via mail. In this instance, you must complete the payment voucher that is included with your subscription bill. Be sure to enter the credit card number and expiration date, your billing zip code, and sign the coupon. Send the payment coupon and payment to:

Medicare Premium Collection Center
P.O. BOX 790355
St. Louis, MO 63179-0355

Pay Using a Debit Card

Using a debit card to pay your Medicare premium is very similar to doing so with a credit card. To make an online debit card payment for Medicare, you must have an account. You must include the billing zip code, the debit card number, and the debit card expiration date if you’re mailing your bill. Your debit card statement will reflect a payment made to CMS Medicare once the transaction has been successful.

Pay by Check

Checks for premium payments should be made out to “CMS Medicare Insurance.” By utilizing a check, you give the Medicare Premium Collection Center permission to handle the payment as a check transaction or as a one-time electronic funds transfer from your bank account using the information on the check. The check can be mailed to the address on your Medicare bill. Don’t forget to include your payment coupon.

Pay With Your Bank’s Bill Pay

You must contact your bank or sign up for its online bill payment service on its website to pay your bills straight from a bank account. Not all banks offer this service, and some charge a fee for it. Make sure the payment is configured properly; otherwise, incorrect data may cause it to be delayed.

You must give the Medicare Premium Collection Center your character Medicare number, Payee name (CMS Medicare Insurance), and address:

P.O. Box 790355, St. Louis, MO 63179-0355 is the Medicare Premium Collection Center address.

Your bank needs to know how much money to take out of your account.

Pay Using Medicare Easy Pay

To have Medicare automatically withdraw your recurring monthly premium payments from your checking or savings account, sign up for Medicare Easy Pay. Fill out a form on your online Medicare account to join up for this service.

You can still get a statement to pay your premium because automatic deductions can start up to six or eight weeks after they are set up. Since the automated payments are recorded in your online payment history, Medicare won’t send you a monthly bill; you’ll simply get monthly statements.

Pay With a Money Order

You can also mail a money order to the Medicare Premium Collection Center’s address to make payments (above, and on the front page of your Medicare premium bill). Make checks payable to “CMS Medicare Insurance” on your money order.

Frequently Asked Questions (FAQs)

What happens if my Medicare payment is late?

If Medicare receives your payment after the deadline specified on your Form CMS-500—the 25th of the month—it is considered to be late. If a payment is 90 days or more past due, you risk losing coverage.

What happens if my coverage lapses due to late payment?

If a late payment causes your coverage to lapse, you must wait until the following open enrollment period to switch plans. If your Medicare Advantage plan coverage expires, Original Medicare will take over immediately.

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