RELIEF FROM PARALYZING MEDICAL BILLS
Many people face hardships which can be financially crippling. It may be a recent illness, injury, or loss of employment. Nearly one in five Americans have delinquent medical debt on their credit reports. In fact, excessive medical bills debt is the leading causes for filing bankruptcy. Although many people have health insurance, sometimes the deductible is so high that people are unable to pay towards their debt. Many people are under the mistaken assumption that medical debt cannot be discharged in a bankruptcy. Medical Debt is an unsecured debt that will be discharged in the bankruptcy.
MEDICAL BILLS ARE CONSIDERED AN UNSECURED DEBT
Since there’s no collateral securing your medical bills, they’re considered unsecured debts. In a Chapter 7 bankruptcy you can discharge or eliminate all of your unsecured debt. It can eliminate expenses incurred for hospital stays, surgery, physical therapy, doctor’s visits, prescriptions, all the debts you’ve incurred for medical treatment.
CERTAIN PROVIDERS MAY REFUSE FUTURE TREATMENT
The Bankruptcy Code provides specific protections to ensure debtors still receive appropriate medical care, regardless of how medical debt is handled. This means you won’t be refused emergency treatment if you have discharged medical debt in bankruptcy. However, some private providers may choose to not see you again if you do file bankruptcy on their debt. Although a hospital cannot refuse emergency treatment, a doctor such as a occupational therapist or mental health therapist, etc. may refuse to see you again in the future. It is possible that you may need to find a new doctor after filing bankruptcy.
DISCUSS YOUR OPTIONS WITH A BANKRUPTCY LAWYER YOU CAN TRUST
Discuss your medical debt concerns with an attorney who is professional, approachable, responsive, efficient, and effective. Contact Minneapolis Bankruptcy Attorney Brea Buettner-Stanchfield today to discuss your financial concerns.