Even people who believe that they are in good health may discover a serious illness that now requires treatment. Others might find themselves the victims of accidents, and extensive care could be necessary. Hospitals and other New Jersey health care providers will send bills for provided care, leaving the patient with potentially high medical debts. For some, bankruptcy protection might be the only way out of the debt.
Medical costs affect numerous people
Excessive medical debt is not a problem shared by only a limited amount of people. A national survey reveals 60% of Americans dealt with medical debt, 23% addressed past debts, and 37% are currently dealing with obligations.
Each case varies, as some might be dealing with co-pays and aren’t involved with any ongoing care. Others deal with significant debt, possibly due to a lack of health insurance, or they might require continual care that further drives up medical debt.
Paying the debt could prove challenging when someone lacks sufficient income or assets. For those struggling to pay these obligations, seeking bankruptcy protection may be the way to address things.
Amassing significant debt
The medical debt could be in addition to other financial obligations that have accrued. People might be unable to work due to a medical problem, leading to more debt while decreasing the ability to pay.
Filing for bankruptcy could lead to a workable way to come out from under any crushing debt. It is possible to have medical debt discharged under both Chapter 7 and Chapter 13, but the processes are quite different.