When a Colorado resident must undergo a medical procedure or be admitted to the hospital, it can be a frightening and scary experience. Even if it is a simple procedure, individuals often have fear and anxiety over the procedure itself and the possible negative occurrences that could happen. Others might not experience this fear and anxiety, and may be looking forward to treatment in order to cure what has ailed them for some time.
In any event, once a medical procedure or hospital admission is complete, many individuals who were hoping to move on with their health and their lives may find themselves in a new predicament. Once the medical bills come rolling in weeks or months later, individuals may be shocked to learn of the expenses of the medical procedure, or that their insurance does not cover certain costs that they expected would be covered.
Medical bills can cripple a person in their own right over time, and can lead to serious damage to a person's financial health. For instance, unpaid bills may unwittingly wind up negatively impacting a person's credit score, which, in turn, can affect their ability to obtain loans for a new house, car or other need.
Individuals saddled with medical debt may find that bankruptcy is the only way of obtaining debt relief.
Indeed, medical debt is one of the top causes for individuals to file for bankruptcy.
Through Chapter 7 bankruptcy, individuals can obtain a discharge of their medical debt, along with most of a person's other debt, including credit card debt and personal loans. The discharge means a person is no longer personally liable to repay the debt, which can be a life-saver when dealing with the extreme medical bills that can be forced upon a person through no fault of their own after a medical incident.
Source: Toledo Blade, "Medical debt can lurk on credit reports," Tim Grant, June 18, 2014