When an unexpected illness or injury strikes, medical bills can quickly pile up and cause major stress. As bills begin to grow in numbers, people often feel overwhelmed and are unsure of how to get help. The constant harassing phone calls and threats of wage garnishment can be difficult to deal with. If you are suffering with more debt than you can handle, there may be a way you can eliminate medical bills once and for all. Through a bankruptcy attorney, you can learn more about your options so you can finally be free of your debt.
Chapter 7 bankruptcy is a type of bankruptcy consumers can file. This type is perfect for those who have mostly unsecured debt. It can help people to eliminate medical bills and other types of unsecured debts quickly. To be eligible for this type of bankruptcy, you must meet income requirements. This is done through a mean’s test, which measures your income against the median income in your area.
Once qualified, the process of filing can begin. This involves listing all of the debts you owe, along with the creditor’s contact information and your account numbers. During the process, a court-appointed trustee will be in charge of your case.
The trustee is responsible for working with your creditors and evaluating your assets to see if any could be sold to pay off your debts. Most people do not have any qualifying property so the trustee ends up absolving their debts for them.
The process for completing chapter 7 bankruptcy takes around six months. This will depend on how much debt is owed and the assets owned. Once the debts are absolved, they are eliminated and no longer your responsibility to pay.
If you have been dealing with large medical bills, credit card debt or other types of debts, you need to be aware of your rights for filing for bankruptcy. Meeting with an attorney can provide you with the information you need so you can make an informed choice. Through bankruptcy, you can finally get rid of your debts and secure a brighter financial future.
