In the USA one of the major causes of worry is the medical expense. The recent times have witnessed a large number of people filing medical bankruptcy.
Some of the major causes of medical bankruptcy are as follows.
* Medical expenses are usually totally unexpected. Sickness does not see the financial situation of the diseased. It just compels the patient to avail medication to stay alive and this comes at a high price. It is possible that the sick is already undergoing sever financial crisis.
* Medical care in the USA is very expensive. In most of the cases it is seen that the patient has to first spend the money on the medication and hospitalization. The expenses if found justified and covered by the policy, is reimbursed by the insurance company. Many people subscribe to medical insurance and pay the premium regularly. Despite this it is seen that in most of the cases that the insurance companies get away without paying anything to the sick, thanks to the loopholes in the law. This pushes the person towards medical bills bankruptcy.
* The medical expenses mainly depend on the severity of the disease and the time taken to recover. If the patient takes a longer time to recover, the medical expenses rise exponentially. It is natural that one does not know which disease is will be inflicted upon him/ her.
It is because of the above mentioned reasons that the patient after revival becomes financially sick and pushed towards medical debts bankruptcy. The two most common factors that aggravate the financial matters are as follows.
* Use of credit card to buy the medicines can prove to be very costly affair and push the sick towards filing bankruptcy. This is very common among the senior citizens who survive only on pension.
* Some people turn this unsecured loan into a secured loan by pawning the equity of the house for getting rid of the medical bills. This strategy can lower the rate of interest but at the cost of your residence.
The medical bill debt can be got rid of by applying for personal bankruptcy. This type of bankruptcy includes nearly all the unsecured loans. Seeking the benefits of bankruptcy approval is not very easy. Usually one has to seek the help of bankruptcy attorney for assuring the successful approval of the bankruptcy application. The most common and popular tool for getting a discharge from medical bills debt is filing Chapter 7 bankruptcy.