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The overwhelming nature of medical debt for many Americans

On Behalf of | Aug 30, 2021 | Bankruptcy |

Medical debt can be distressing and overwhelming. For that reason, patients suffering with medical debt should be familiar with personal bankruptcy protection that may be able to help them enjoy some relief.

The problem of medical debt

Some patients may worry that they will struggle with medical debt forever. From 2009 to 2020, medical bills were the largest source of debt in the United States. A recent study from the Journal of the American Medical Association revealed that Americans owed a record $140 billion in medical bills last year. The study includes medical debt that has been sent to collection. Americans with full times jobs still struggle to meet their medical debts and many have high deductible medical insurance plans that may be of little help. Debt collectors may call day and night and patients may have to make difficult decisions between paying their medical bills and affording their groceries or prescriptions.

How personal bankruptcy may be able to help with medical debt

Personal bankruptcy options may be able to help filing parties enjoy debt relief from medical debt. There are different forms of personal bankruptcy protection which can help consumers struggling with medical debt either through Chapter 7 bankruptcy or Chapter 13 bankruptcy. Chapter 7 bankruptcy is a liquidation bankruptcy option and Chapter 13 bankruptcy is a reorganization bankruptcy option.

Either type of personal bankruptcy can help with a fresh financial start. Medical debt can be crushing which is why patients may be able to seek help with the high cost of healing through personal bankruptcy options.