Ways Bankruptcy Can Help with Your Medical Debt

medical debtBankruptcy could be an answer to the difficulties you are experiencing because of your medical debt, but one type of bankruptcy might suit your needs better than the other.

Chapter 7 Bankruptcy

This type of bankruptcy is the straightforward type. If your situation qualifies, your medical debt could be eliminated entirely and discharged. In other words, you wouldn’t have any obligation to repay this debt. Your creditors would have to stop contacting you about it forever.

Chapter 13 Bankruptcy

Chapter 13 bankruptcy does not eliminate your debts; it reorganizes them. Your debts will be placed in a monthly repayment plan that would be affordable for you. Your income and your monthly expenses will be considered, so your bankruptcy attorney Mobile Alabama will be able to draw up a repayment plan that you can easily afford. In most cases, these repayment plans last between three and five years. After three or five years have passed, your remaining debts will be discharged. With this option, you are repaying your debts, but it will be for a smaller amount.

Get Help with Medical Debt

If you are having difficulties paying your medical debts, this situation could become extremely uncomfortable for you if it hasn’t already. You may be receiving collection calls, but this is only the beginning. It is a well-known fact that medical creditors don’t hesitate to file lawsuits against people when they are late with their payments. When they do this, they can garnish your wages and then they receive judgements from the court that allow them to place liens on your property.

You can get help with your medical debt from a Mobile AL bankruptcy attorney at the Loris Law Firm. As soon as you contact us, we will immediately file for bankruptcy protection. Then, you will be able to breathe easier because your creditors will not be able to contact you while the bankruptcy is going on. We will also stop the wage garnishment and liens. Contact a bankruptcy attorney Mobile AL at the Loris Law Firm today.