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Medical Debt and Bankruptcy Lawyer in Phoenix

Speak to a Phoenix bankruptcy attorney about your medical debt. Call Hilltop Law Firm at (602) 466-9631 to schedule a consultation.

Assistance with Bankruptcy for Those Facing Medical Debt in Phoenix

Mounting medical bills can be extremely overwhelming, but with the help of a knowledgeable attorney, you can have access to mediating solutions. Filing for bankruptcy can have many benefits and provide you with a fresh start. If you’re facing insurmountable medical debt in Phoenix, you’ll want to consult an attorney that can walk you through the process of filing for Chapter 7 or Chapter 13 bankruptcy.

You can rely on Hilltop Law Firm to advocate for your rights and protect your interests. We are a family-operated law firm with a deep understanding of bankruptcy law. With nearly a decade of legal experience and two years of banking experience, attorney Cy Hainey can guide you through some of the most difficult challenges facing you and your family.

For a complimentary consultation, call us at (602) 466-9631 today.

Understanding Medical Debt

The complicated legal and economic environment for medical care in the United States can result in high medical costs for a lot of people. As a result, medical debt can accumulate quickly and easily. Common causes for accruing medical debt include:

  • Unexpected illnesses
  • Emergency medical care
  • Inadequate insurance coverage
  • Prescription costs

As medical debt begins to accumulate, it can have a negative impact on your credit score and can lead to debt collection and legal action, such as wage garnishment. Furthermore, paying medical bills can often be challenging due to confusing insurance policies, complicated billing codes, and the stress of not receiving crucial medical treatment.

Bankruptcy as a Solution for Medical Debt

Filing for bankruptcy can be a powerful method for combatting mounting medical debt. There are two main paths for filing for bankruptcy:

Chapter 7 Bankruptcy: The bankruptcy court designates a bankruptcy trustee to manage the repayment of debts by liquidating the consumer’s assets. Importantly, certain assets—such as homes and cars—are excluded from liquidation. Medical debts that cannot be paid from the sale of the consumer’s assets are discharged.

Chapter 13 Bankruptcy: The bankruptcy court designates a bankruptcy trustee and helps the consumer organize a repayment plan based on their present income and living expenses. Typically, a repayment plan covers a three to five-year period. At the end of the repayment period, medical debts are discharged.

Benefits of Bankruptcy for Medical Debt

Bankruptcy offers individuals key benefits for dealing with medical debt:

  • Automatic stay: Once bankruptcy proceedings begin, the court will place an automatic stay order that prevents debt collection actions. This allows the consumer to address their financial situation without it worsening.
  • Discharge of medical debt: At the conclusion of bankruptcy proceedings, the consumer may be relieved of their legal liability to pay certain qualifying medical debts. This helps free individuals from the burden of outstanding medical bills.
  • Taking control of finances: Bankruptcy helps consumers prevent their financial situation from spiraling out of control. After bankruptcy, individuals have a fresh start to rebuild their financial health.

Taking Control of Finances After Bankruptcy

After bankruptcy proceedings, it is important for individuals to hit the ground running to rebuild their financial futures. Bankruptcy can appear on a person’s credit history for several years, so it is vital to establish a plan to rebuild credit. Furthermore, individuals should learn and internalize important lessons in financial planning to avoid future financial pitfalls. Individuals can build their financial skills through financial planning courses and seeking help from professional advisors.

Consult with an Experienced Phoenix, AZ Bankruptcy Lawyer

Fighting medical debt and navigating the complexities of bankruptcy law can be challenging unless you have an experienced lawyer to advise you on your legal options and rights. A skilled and knowledgeable Phoenix bankruptcy attorney can lay out the pros and cons of your legal options so you can make an informed decision about your financial future.

If you are looking for a solution to your medical debt problems, Hilltop Law Firm is ready to advise you on your best course of action. Our Phoenix legal team is dedicated to delivering relief and restoring your financial confidence. We’re here to help you take control of your finances and reclaim your peace of mind.

Reach out to us at (602) 466-9631 for a free consultation.

“Settled my debt quickly and for less than I could have imagined! I would definitely recommend”
- Chelsea