Medical Bankruptcy | Sirody & Associates, Baltimore MD
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Medical Bankruptcy

Struggling To Pay Your Medical Bills?

  • Recover from debt caused by unpaid medical bills
  • Address the high cost of caring for an elderly or disabled loved one
  • Deal with healthcare debt collection
  • Find out if bankruptcy can help rebuild your financial health

Contact Us today at (410) 415-0445 for a FREE Initial Consultation.

Are you facing debt you can’t pay due to the high cost of medical care? Well, you’re not alone. Unlike other types of debt, medical expenses are often involuntary and unplanned. Health insurance rarely covers 100% of healthcare costs, leaving more Americans are struggling with the high cost of medical care every day. Anyone could lose their financial stability when faced with the high cost of a catastrophic illness or accident, including added co-pays, deductibles, out-of-pocket expenses, and lost wages.

You may be wondering: can medical debt can be included in bankruptcy? In fact, In the United States, medical expenses are the number one reason people file for bankruptcy. Bankruptcy is a legal process designed to protect your rights and get you back on your feet as quickly as possible.

Get The Help You Need

Unfortunately, many people wait too long to get help. Most Americans feel a responsibility to pay off their debts resulting from medical care. While these intentions are good, unpaid debts can grow faster than the average person is able to save. The emotional burden of these unpaid medical expenses can be enormous, and in the end the snowballing debt can have disastrous financial consequences. Cashing out credit cards, retirement funds, college savings and/or taking out second mortgages to pay off medical debt can destroy your personal finances completely. Healthcare debt can also negatively impact your ability to save for your future.

At Sirody & Associates, we help you understand medical bankruptcy so you and your family can make wise choices. We’ve helped countless Baltimore residents get the fresh start they deserve.

Contact Us today at (410) 415-0445 for a FREE Initial Consultation.

The following infographic  illustrates how medical bills can lead to an overwhelming spiral of growing debt:
Infographic: How Do Medical Bills Lead To Bankruptcy?

Don’t Wait Until Your Financial Situation Is Desperate

If you’re struggling with unpaid medical debts you’re not alone. A 2016 study by The New York Times and the Kaiser Family Foundation reported that approximately 1 in 5 people under the age of 65 who had health insurance reported financial difficulties relating to medical bills. Let our experienced medical bankruptcy attorneys restore your peace of mind and help you rebuild your life.

Frequently Asked Questions About Medical Bankruptcy

Can medical bills affect my credit?
Your medical history is private and is not reported to creditors or included in your credit report, but any medical bills that are past due may appear on your credit report and can impact your credit score. Most consumer credit reporting agencies will report on medical bills that are 180 or more days past due.
Will filing for medical bankruptcy affect my retirement savings?
If you file for bankruptcy due to high medical bills or any other debts, money that you have saved in your 401K or other profit-sharing type retirement accounts generally can not be touched by creditors. Similarly, money saved in any type of IRA account is generally protected from creditors up to a certain dollar amount.
Will I lose my house if I file for bankruptcy because of medical bills?
Every situation is unique, but an experienced bankruptcy attorney may be able to remove any liens on your home and set up a reasonable payment plan so that you can get up-to-date on your mortgage payments and avoid foreclosure.
If I file for medical bankruptcy, can I lose my social security?
Depending on your income level, you may be eligible to file for a Chapter 7 bankruptcy, in which your debts will be discharged. In the state of Maryland, you must first determine if your income is greater than the median income for the state. This is referred to as the “means test”. In Maryland, you are not required to include Social Security benefits as part of your income when completing the means test calculation. If your income is found to be greater than the median income for the state, you may file for Chapter 13 bankruptcy. Under a Chapter 13 bankruptcy, debtors are given an opportunity to establish a plan to repay debts over a 3-5 year period.

Call Sirody & Associates today at 410-415-0445 for a free initial consultation.