Bankruptcy for Medical Debts: Facts You Should Know

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Medical emergencies are unpredictable. You never know what is waiting for you tomorrow. It is possible that you have enough savings for your future, but if any medical emergency takes place, your savings can be at stake. You can’t skip the treatment, no matter how costly it is. In many cases, people either have failed to pay the medical bills, or they are buried under the debts for it.

The bankruptcy filing is a great escape from that. If you are confused about the benefits of the bankruptcy filing in medical bills and how to file bankruptcy in Oklahoma, here is some important information to clear the air.

How Does It Work?

Once you file for bankruptcy, it separates your debts into two categories. There are some debts which are tagged as special priority treatment and through bankruptcy, it can’t be removed. But the exception is the medical bills. Medical bills are considered as general debts like the credit cards and others and can be removed easily by filing bankruptcy. Now, to file bankruptcy in Oklahoma, you can contact a bankruptcy lawyer.

What Are Ways to Eliminate Medical Bills with Bankruptcy?

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There are two types on which you can file for bankruptcy. The Chapter 7 and Chapter 13. Chapter 7 is the most common one to eliminate the debts whereas Chapter 13 is more complicated.

Qualifying the Chapter 7 bankruptcy, you will be able to remove all medical bills along with the other debts. The amount of medical debt is not restricted here. It will also discharge the debt of credit card for the payment of medical bills. You can connect with the lawyer for the rules and regulations and eligibility criteria for bankruptcy means test.


In Chapter 13 bankruptcy, medical bills are chunked with the other debts you have. All goes under the repayment plan. The payable amount will be decided based on the income, non-exempt assets and normal expenses. Each of the creditors receives the pro rata portion of the amount of the debts that belong to the plan. But there is one constraint on it. The medical bill should not exceed the provided limit of bankruptcy Chapter 13.

If you are on the verge of filing bankruptcy for the unpaid medical bills or the debts for the same purpose, you should consult an attorney firm like Chris Mudd & Associates for the required help.