Richmond Medical Debt Lawyer

Debt Relief through Bankruptcy

While medical costs may be a fact of everyday life, an unexpected emergency or long-term illness can be financially devastating, especially when your insurance does not cover the full costs of your care. Medical bills are one of the most common reasons Americans go into debt, and, when you should be concerned with healing, creditor harassment can bring additional stress to an already difficult time.

Fortunately, you do have legal options. Flores Law PLLC in Richmond, VA, is ready to help. There is no shame in facing medical debt, and we will always treat you with the care and compassion you deserve.

Call us at (804) 315-0810 for a free phone consultation. Hablamos español.

Creditor Harassment and Medical Debt

Healthcare systems can, and do, sue patients to collect on their medical debts. According to a recent investigation by The Washington Post, the University of Virginia Health System is one of the most notorious and persistent in the country, filing thousands of lawsuits against everyday people to collect on their debts. In many of these cases, they have garnished patients’ wages, seized tax refunds, and filed property liens to collect on debts, interests, and legal costs.

Even if your debt is not from the UVA Health System, medical providers can still pursue legal action against you and collection agencies will do everything possible, including calling you incessantly and sending numerous collection letters, to collect on the debt.

Medical Debt and Your Credit

Medical debts will stay on your credit report for seven years and have an effect on your credit score as soon as it goes to collections. While these debts will come off your credit report, they will not disappear. You are still legally responsible for repaying them. Before a medical debt goes to collection, you may be able to negotiate with your medical provider or schedule a repayment plan. However, this is often incredibly difficult to pay back, especially when your injury or illness prevents you from working or having a steady income.

In these cases, many people may turn to paying off their medical bills with credit cards, which carries high interest rates and may lead to more debt. Missing a credit card payment or being unable to pay the full balance of your credit card bill can further hurt your credit, leading to a seemingly inescapable cycle of debt.

Finding a Brighter Future through Bankruptcy

Both Chapter 7 and Chapter 13 offer individuals a legal means to reduce and repay their debts, either by selling off some assets or creating a repayment plan that allows the medical debt to be paid off within 3 to 5 years. Which chapter of bankruptcy is right for you depends on your unique situation; the amount of your debt; and the amount of income, equity, and property you have. If you are considering filing for bankruptcy to get out from under your medical debt, it is important that you work with an experienced lawyer.