Medical debt from cancer is a common cause of bankruptcy

| Mar 2, 2019 | Uncategorized

People come from all over to seek treatment and medical care at the Mayo Clinic. Individuals who live in Minnesota and throughout the Midwest come here for treatments and medications still in the research phase that they could not access elsewhere. They also come for access to cutting-edge machinery and procedures.

Unfortunately, experimental or brand new procedures and medications often carry massive price tags. Researchers and medical companies use costs that they pass along as one way to offset the expense of securing FDA approval for new treatments. Insurance companies are often reticent to cover anything other than pre-approved and acknowledged medications and procedures.

In other words, patients often end up paying for experimental and research treatments out of their own pocket. Even those seeking routine care for medical issues at the Mayo Clinic can wind up with staggering amounts of debt. When someone truly cannot repay the tens or hundreds of thousands of dollars associated with their medical care, bankruptcy is often the best solution.

You have the option of discharging unsecured medical debt

Not all forms of debt receive discharge in individual bankruptcy proceedings. In most cases, for example, student loan debt will never receive a discharge. Debt associated with collateral, known as secured debts, also do not receive a discharge. Individuals will need to reaffirm those debts unless they want to lose the property serving as collateral.

Medical debt, like credit card debt, is typically unsecured. That means that you have the right to discharge it in the bankruptcy. Whether you select Chapter 7 bankruptcy because you cannot work due to your health condition or Chapter 13 bankruptcy because you can finally return to work, your medical debts will typically get included in the final discharge.

Once you comply with the court’s requests and instructions, you will be able to walk away from bankruptcy proceedings without the ongoing burden of medical debts. Imagine what your life would look like without that staggering medical debt to worry about.

A fresh financial start goes well with a clean bill of health

If you have just spent the last few years of your life struggling with cancer or another serious medical condition, you shouldn’t have to spend the rest of your life paying for it now that you are healthy. The stresses involved with substantial medical debt and collection activity could also take a toll on your health.

When an individual is not able to maintain a basic standard of living and repay the medical debt for their treatment, bankruptcy may be the best option available. Sitting down with a bankruptcy attorney who understands the laws in Minnesota is a great way to determine if bankruptcy could help improve your situation.

FindLaw Network