Medical bills can quickly wipe out a family’s entire savings, and can incur an overwhelming debt.
Anyone who has ever experienced serious disease or major injury knows that medical bills can end up running into hundreds and thousands of dollars. If you are also among them, and are paralyzed while thinking about how to resolve the issue of mounting medical bills then you must follow the legal advice mentioned below.
Debt settlement is one of the most viable options to be considered when people look for a way to clear the medical bills. If you are sinking in the sea of medical bills then there is always a provision to negotiate a payment plan or settlement of accounts with your medical and healthcare providers. So when you find it difficult to pay the medical bills, you must contact your medical or healthcare providers, and explain your financial circumstances to convince them to reduce a certain amount from the total balance owed. Many doctors, clinics, hospitals agree to payments over time or settle the amount less than the total balance of the bill owed.
Filing for bankruptcy is another real option that can protect and relief you from the overwhelming medical bills. The statistics of bankruptcy filed in the U.S. for unmanageable medical bills are pretty shocking and have seen a dramatic rise in the past few decades. According to CBS news report, in June 2009, around 62% of bankruptcy has been filed for the exiting medical bills.
There are two famous options of bankruptcy. Under chapter 7, most debts are written-off, and the rest have to be paid by liquidating the assets. Through this process you will no longer be responsible to pay the medical bills.
On the other hand under chapter 13, you are provided with a restructured payment plan to satisfy all your medical bills to the healthcare providers. Over a period of 3 to 5 years, you have to make a monthly payment to the court, which is being disbursed among the creditors by the bankruptcy trustee.
You can do a settlement with the healthcare providers or can declare bankruptcy on your own, but it is always advisable to hire the services of an attorney who will guide you through the process.
You may hire the services of a private counsel to assist you in dealing with medical bills and other accounts. Of course you will have to pay him a fee for his professional assistance. But if you find it difficult to afford a private counsel, contact a legal aid organization in your community. Legal aid offices help people to resolve the issue of debts and bankruptcy with no charge. You can also take help of law students, who provide legal assistance in debt settlement and bankruptcy without charging a fee from the clients.
Thus, the above mentioned legal advice will certainly help you to clear the outstanding medical bills, and to eliminate all other financial obligations.