There are a few different reasons to file for Chapter 13. Probably the first one is if you are not qualifying for the Chapter 7.
Jan. 12, 2023
High Cost of Medical Treatment Causes Many People to File for Bankruptcy
According to the St. Cloud Times, a Minnesota news source, the most common reason that individuals in the United States file for bankruptcy is illness, and much of this is due to the high cost of drugs.
Previously on this blog, we've written about how unexpected medical bills can cause individuals to fall behind financially and how, in some cases, people choose to forgo important medical treatment if they know it will add onto the debt they have already accrued.
In a recent article featured in the medical journal “Blood,” a group of researchers suggested that the cost of cancer medications – particularly those used to treat chronic myeloid leukemia (CML) – has become so high that some patients may die because they are unable to afford treatment.
According to the St. Cloud Times, a Minnesota news source, the most common reason that individuals in the United States file for bankruptcy is illness, and much of this is due to the high cost of drugs. In Minnesota alone, there are approximately 817 people diagnosed with leukemia each year. People with CML have a 57.2 percent survival rate, so getting treatment can be an issue of life or death.
“Identifying better ways to manage the cost of cancer care will require an evolution in thinking about current pricing-related policies and regulations, including those that limit price negotiation for Medicare coverage of treatments, as well as patent-related laws that limit the introduction of more affordable generic drugs,” said Dr. Hagop Kantarjian, one of the medical professionals who authored the article.
Minnesota residents who find themselves struggling to make ends meet for reasons related to medical care should know that filing for bankruptcy may be a viable option available to them. If you've fallen behind on your credit card payments, contact Atlas Law Firm, a Twin Cities bankruptcy law firm, today. We view bankruptcy as a financial tool that can help people resolve burdensome debt, and our professionals can help you determine which filing is right for you.
The three common triggers for bankruptcy are unemployment, medical expenses, and divorce. Unemployment can trigger bankruptcy, which is pretty straightforward.
The trustee has a duty to conduct due diligence, and that basically means reviewing the documents that are filed by the debtor and then holding a hearing called a Section 341 hearing in which the trustee asks some standard questions of the debtor.