I don't have any health insurance. I went to the hospital and now I have a bill. I called them to set up a payment plan of five dollars a month, cause I currently don't have a job, and they said it has to be a minimun of twenty dollars or they won't accept it. My question is, by not accepting any money for the debt, does that cancel the debt all together? And do I need written documentation of their refusal?

Yes, I would keep the written documentation of their refusal to accept any partial payment. Did you ever check out to see if your hospital has a "charity case" fund? That fund is used for people who do not have insurance and/or a job. Also see if your hospital is under the Hill-Burton Act. Some hospitals are no longer under that Act, but some still are.

HHS - Fact Sheet: YOUR RIGHTS UNDER THE COMMUNITY SERVICE ASSURANCE PROVISION OF THE HILL-BURTON ACT <meta name="keywords" content=" burton, hill, facility, creed, service, residing, origin, rights, race, obligation"/> (http://www.hhs.gov/ocr/hburton.html)