Don't Let Too Much Medical Debt Overwhelm You: Explore Your Legal Options

A medical emergency does not come with an appointment; no one can plan for it, and it can lead to enormous expenses for a family. Consider a situation in which you wake up in the morning as fit as a fiddle, only to find yourself in the emergency room of a hospital by evening. Stressful, enormous, and expensive—these three terms define the lives of many people with too much medical debt. Usually, medical costs are unavoidable and can easily take a huge chunk of the monthly wages or even savings. In this case, it becomes a daunting task to balance the deficit that the unanticipated medical bills have left in your finances.  

Medical debt is a problem that, once it starts, becomes a cycle that is difficult to break out of. The pressures of high interest rates, increasing costs, and lack of stability in financial situations affect people and households harshly. This remains the cycle until one decides to pull out of it with an action of change. 

How Medical Credit is Managed: An Overview 

Paying Out of Pocket 

Some attempt to personally cater for the costs, however, this drowns the funds and hampers the monthly budget, leaving the individual with no financial security. 

Paying with Credit Cards  

Using credit cards to pay too much medical debt is common but has its downsides. Medical bills are more expensive than credit card interest rates and therefore accumulate more debt and financial stress.  

Why Credit Cards Are Not the Right Solution 

Credit card debt in general is always associated with high fees and interests and is an unfit way of dealing with medical bills.  

While it is true that debt transferred to credit cards can give the illusion of debt reduction, this usually helps to release the immediate pressure and it comes with other, even bigger financial problems. One must grasp various aspects of debt relief and its implications in the long run. 

Alternatives to Credit Card  

Instead of using credit cards in treatment, there should be better ways of handling and minimizing medical costs. More practical solutions include bargaining with providers, referring to available assistance programs, and hiring specialist debt management companies. 

Bankruptcy as a Solution 

Today, millions of Americans struggle with too much medical debt, and this financial problem is something that should be addressed and solved. Bankruptcy is a legal procedure that helps people who can no longer pay their debts. Chapter 7 and Chapter 13 are two types of bankruptcy with different eligibility and outcomes. There are certain intricacies in understanding bankruptcy and when it might be an advantageous strategy to discharge too much medical debt. 

Debunking Myths About Bankruptcy 

A lot of individuals have misconceptions about bankruptcy, thinking that the financial future has no chance after applying. The reality is that bankruptcy is one of the ways one may get a second chance. When people consider filing for bankruptcy, it is important to eliminate myths around the process and show realistic expectations as to the impacts of filing for one. 

Steps to Get Started 

Recovery Law Group provides legal assistance for individuals with overwhelming medical bills. It has specialist lawyers to provide legal opinion, legal representation, and advice for bankruptcy among others. 

The first step in seeking help to regain financial stability is to seek an appointment with them. The consultation stage involves clients being evaluated on their issues and being offered recommendations in the most appropriate way forward.  

If you are overwhelmed with too much medical debt, it is important to take the proper steps that will help in financial healing. Hiring experts such as the Recovery Law Group can help you get the legal assistance that you need to deal with and eradicate your debts. There is no need to wait for the miracle to happen – start your way to financial success with Recovery Law Group right now. 

 

 

 

 

Bankruptcy lawyers in Danbury, Connecticut to give you the best outcomes in your favor

Bankruptcy is a legal process that allows you to put your finances together, and get a fresh financial start. Chapter 7 and Chapter 13 bankruptcies are the most common ones filed by people in the USA who are facing unmanageable debt. Chapter 7 bankruptcy, also known as liquidation bankruptcy, is right for individuals who fall below certain income levels to eliminate unsecured debt, such as medical bills and unpaid credit cards. It completely wipes clean and discharges eligible unsecured debt. Also, wage garnishments and bank account levies will be stopped. All qualifying debts will be completely discharged, and you will be able to retain all your exempt assets, which include a small residence, and a small car.   

On the other hand, Chapter 13 allows you to restructure your debt. Your bankruptcy lawyer Denbury in Connecticut will be able to stop the foreclosure of your property, help you catch up with your past due payments, and repay your outstanding debt in smaller amounts, and over a longer period of time. You will be provided with a court-approved reorganization plan to repay your debt over a period of three to five years. Your bankruptcy lawyer Danbury should be able to help keep your property and vehicle, provided you repay your creditors an amount equal to the value of your property not covered by bankruptcy exemption.   

Both Chapter 7 and Chapter 13 bankruptcies will bring an immediate halt to all your creditors’ collection activities. Your bankruptcy lawyer will notify all your creditors about your filing of bankruptcy in Danbury, Connecticut, and they will be legally prevented from contacting you for debt collection till the pendency of the bankruptcy case. They can contact only your bankruptcy lawyer Danbury for any debt recovery, not you directly. If they do, you have the right of up to a $1,000 award per violation, along with court fees, and additional monies that you might have suffered as a result of misconduct.   

Negotiating with your creditors   

One of the key benefits of hiring bankruptcy lawyers Danbury from a reputed law firm, such as Recovery Law Group, is that they are specialists in bankruptcy laws and the US Bankruptcy Code, and can guide you through the process. From filing the necessary paperwork to representing you in court, the attorney will work to get the best outcome in your case. The attorney will negotiate with the creditors on your behalf, and defend your petition in court. The attorney will ensure that your personal property is valued correctly, potentially allowing you to retain most of your assets under Chapter 7 bankruptcy.   

Developing a fair repayment plan   

Be it either Chapter 7 or Chapter 13, you will be able to get rid of that overwhelming debt, harassment, and pesky bills that keep dragging your finances down. If you do not qualify for Chapter 7 bankruptcy and your bankruptcy lawyer Danbury in Connecticut decides to file for Chapter 13 bankruptcy, they will develop a fair repayment plan, and negotiate with the trustee on your behalf. The lawyer will ensure that you have the best chance of successfully completing your plan. Your bankruptcy attorney Danbury will also educate you about your financial options, and get a fresh financial start.    

 

 

 

 

Benefits of filing for bankruptcy California, and what all you can keep even under bankruptcy

Bankruptcy is like a financial restart, allowing you to eliminate most of your overwhelming debt, and emerge as a more effective user and a wiser user of your financial resources. Filing for bankruptcy in California can stop creditors’ collection activities, and ultimately discharge or eliminate many of your current debt. However, it will not eliminate all of your debts. Some debts that cannot be eliminated after filing bankruptcy California include child alimony and support, government penalties, and taxes. However, before filing bankruptcy California, you may want to consider alternative options, such as debt consolidation, debt management plans, debt settlement, and nonprofit credit counseling.   

You should consider hiring an experienced bankruptcy attorney for filing bankruptcy in California, who will decide which type bankruptcy will be better suited for your circumstances. If your debts have become overwhelming and you cannot repay them despite your best efforts, your experienced bankruptcy attorney at Recovery Law Group may file bankruptcy California under Chapter 7 of the US Bankruptcy Code. To qualify for Chapter 7 bankruptcy, your average monthly income should be less than the average median income in California for the size of your household.   

However, some assets will remain exempt under Chapter 7 bankruptcy, which include:  

• A certain amount of home equity  

• Clothing and many household items  

• Car of a certain value   

• Tools of trade  

• Most insurance benefits  

• Spousal or child support  

• Most public benefits, and   

• Retirement accounts  

Reorganization plan under Chapter 13 bankruptcy   

However, if you have a regular source of income, and are left with a significant amount of money each month to repay your creditors, you may be advised for filing bankruptcy California under Chapter 13. Under Chapter 13, you will be given an extended period of three to five years to repay your outstanding debts. Any debts remaining after Chapter 13 bankruptcy will be discharged or eliminated. However, you will be required to attend a credit counseling meeting with your creditors from a recognized counseling agency.   

Uniform Fraudulent Transfers Act (UFTA)  

While filing bankruptcy California, you have to keep certain things in mind; transferring assets is one of them. The court does not look kindly to any kind of transfer of property (like jewelry, car, home, etc.) being made within two years prior to a bankruptcy filing California. In case you have transferred an heirloom piece of jewelry to your child and due to some misfortunate turn of events you had to file for bankruptcy (chapter 7) the court will observe this transfer of jewelry as an act of hiding assets. According to Los Angeles-based law firm Recovery Law Group, U.S. Bankruptcy Code 11 section 548 views such transfers as fraudulent if the reasonable value of the asset is not provided to the debtor on its transfer. As per California state law, there exists an additional 4-year lookback period (not longer than 7 years) under its Uniform Fraudulent Transfers Act (UFTA).   

If you wish to file for bankruptcy in California, you need to pay attention to any transfer of assets made within the last four years. In case you have gifted your kids, friends or relatives any jewelry, ensure that you get it back before filing bankruptcy California. If there exists a contract or a document trail for any transfer of assets get it annulled or get another contract drawn to have the assets transferred back to your name. Having any or all assets back in your name is essential if you want to be in the good grace of the bankruptcy court.