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Pursuing Bankruptcy for Medical Debt 

 Posted on October 16, 2023 in Bankruptcy

Concord Medical Debt Bankruptcy LawyerMedical debt is a growing concern for millions of Americans, often leading to immense financial distress and even bankruptcy. If you are looking for a way to alleviate yourself of medical debt and are considering bankruptcy as an option, it is strongly advised you contact a lawyer for assistance. Your lawyer is a legal professional who will help you pursue bankruptcy while also ensuring that your rights and interests are protected throughout the process. While pursuing bankruptcy without a lawyer is possible, it is not recommended. Bankruptcy law can be complex, which makes the assistance of a lawyer that much more important.

Understanding Medical Debt 

Medical debt is one of the leading causes of bankruptcy in the United States. Despite having health insurance coverage, people may still face significant out-of-pocket expenses, including deductibles, co-pays, and uncovered treatments. In North Carolina, when medical bills accumulate and become unmanageable, bankruptcy can offer a fresh start by discharging or reorganizing the debt.

Chapter 7 Bankruptcy for Medical Debt

Chapter 7 bankruptcy, also known as liquidation bankruptcy, is a common choice for people seeking relief from medical debt. Filing for Chapter 7 allows for the discharge of eligible debts, including medical bills, thereby providing a clean slate and allowing people to rebuild their financial lives. However, it is important to note that certain assets may be liquidated to repay creditors, and income eligibility requirements must be met to qualify for Chapter 7 bankruptcy.

Considerations and Next Steps to Pursue 

Before pursuing bankruptcy for medical debt, it is crucial to consider various factors. Consulting with an attorney is highly recommended to understand the legal complexities and determine the ideal steps to take based on your individual circumstances. Additionally, gathering and organizing all relevant financial information, including medical bills and income details, is essential for filing for bankruptcy. Lastly, adhering to the court's requirements and attending credit counseling sessions are crucial steps to navigate the bankruptcy process successfully.

Contact a Charlotte, NC Bankruptcy Lawyer 

For legal assistance in pursuing bankruptcy, contact the skilled Mecklenburg County bankruptcy attorney with Blossom Law PLLC. Call 704-256-7766 for a free consultation.

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