Unfortunately, it’s common for people in Ohio to deal with massive medical bills that feel overwhelming and impossible to pay. Having these debts hang over you can feel like a huge burden. It can lead to feelings of constant anxiety and even depression. However, some solutions are available to debtors from all walks of life. Filing for bankruptcy can, in many cases, be a great choice when it comes to wiping the slate clean regarding medical bills.
Statistics show that between 25% and 50% of all bankruptcies include a significant amount of medical debts. Whether you have acquired medical debt due to urgent surgery, long-term treatment of an illness or injury, or because of cosmetic surgery, you will have an equal chance of being successful through a bankruptcy filing.
What types of bankruptcy filings do I have to choose from?
There is no specific bankruptcy Chapter that is designed for debtors dealing with medical bills. Instead, the bankruptcy Chapter that will be right for you will depend on your specific financial situation.
If you have a low income in comparison to your debts, filing for Chapter 7 bankruptcy may be the best choice for you. This will include the liquidation of the majority of your assets, and it will probably result in the discharge of all debts within a matter of months.
If you have a significant and stable income and you do not want to lose your home as well as other assets, filing for Chapter 13 bankruptcy may be a more appropriate choice. Chapter 13 bankruptcy is otherwise known as a repayment plan, since it reorganizes your debts so it is possible to repay them in managed installments over the next 3-5 years.
Is bankruptcy the best way to tackle medical debts?
When it comes to dealing with medical debts, an attempt at negotiation with your medical provider should be the first port of call. If this is not successful and you are feeling overwhelmed financially, bankruptcy is a sensible consideration.
Make sure that you conduct thorough research if you are considering filing for bankruptcy in Ohio. Understanding the law when it comes to bankruptcy will allow you to make wise choices.