Following a long-term illness or severe injury, your main priority should be recovering and getting back into the swing of everyday life. However, for many, instead of focusing on recovery, they are faced with the burden of overwhelming medical bills. Even the most prepared individuals can be blindsided with medical bills that may have accumulated, sending them into debt that they need help to get out of.
Whether debt from a medical incident has recently forced you into a difficult financial situation, or the yearslong pressure of debt has finally accumulated, Braziel Law is a trusted resource and is here to help. Read more below to see how filing for bankruptcy can help you eliminate this kind of debt.
Can I Eliminate Hospital Bill Debt Through Bankruptcy?
If hospital bill debt has begun to take over your financial wellbeing, filing for bankruptcy may provide a light at the end of the tunnel. Medical bills can be forgiven through bankruptcy, however you cannot limit your bankruptcy to your medical bills. Instead, all of your unsecured debts will be reviewed, including medical bills, personal loans, credit card debt, etc. The first step to take is finding an experienced bankruptcy attorney and discussing whether you should file for Chapter 7 or Chapter 13 Bankruptcy.
Chapter 7 Bankruptcy & Medical Debt
If you are unable to pay off your medical debt, filing for Chapter 7 Bankruptcy can give your finances a fresh start by clearing your medical bill responsibilities, as well as other outstanding debts. People with an income below their state’s median (based on household size) can file for Chapter 7 Bankruptcy and will enjoy the following benefits:
- All debts, including medical bills, will be wiped out
- Medical debt collectors will no longer be allowed to contact you
- Your bankruptcy could be finalized in just months
Chapter 13 Bankruptcy & Medical Debt
Chapter 13 Bankruptcy may be your best option if you have the ability to pay off your debts, including your medical bills, but you need more time or a more manageable way of doing so. While Chapter 7 eliminates debts, Chapter 13 focuses on allowing you to repay your debts through a structured process:
- You will repay your debts according to a structured payment plan
- Plans will last for either three or five years
- At the end of your plan, the remaining debt may be cleared
Contact Barbara B. Braziel
If you are facing an overwhelming number of medical bills, Braziel Law is here to help. We will work together to get you back on the right path and help you navigate the complexities of filing for bankruptcy, so you can finally be free of medical bill debt. If you are in need of a medical bill bankruptcy lawyer, contact us today to schedule your free consultation.