Learn How Georgia Bankruptcy Law Can Impact Your Medical Debt
Medical debt can be crippling. An overnight stay in a hospital can put you thousands of dollars in debt, even if you do have health insurance. Luckily, filing for bankruptcy can help. If you are currently drowning in medical debt, filing for bankruptcy may be the right choice for you.
An Atlanta, GA bankruptcy attorney at Galler Law can help you put your medical debt behind you. Before you decide to file for bankruptcy, it is important to understand Georgia bankruptcy law and how it can affect medical debt.
Medical Debt And Chapter 7 Bankruptcy
In Georgia, medical debt is considered “unsecured debt,” and is treated like credit card debt in bankruptcy cases. This means that if you successfully file for Chapter 7 bankruptcy, your medical debt will be wiped out.
To qualify for Chapter 7 bankruptcy, you must first take what is called a “means test.” Fortunately, you may not have to take the whole test. If your income over the last 6 months was below the average income in Georgia, you will automatically qualify for Chapter 7 bankruptcy.
This is a tip that many Atlanta, GA residents are not aware of.
If your income is higher than the state average, you may still qualify for Chapter 7 bankruptcy–you just have to take the entire means test. Taking the means test could be your first step to getting rid of your medical debt in Atlanta, GA.
Medical Debt And Chapter 13 Bankruptcy
Let’s say, after taking the means test, you find out that you don’t qualify for Chapter 7 bankruptcy. You may still be able to file Chapter 13 bankruptcy in Atlanta, GA. Chapter 13 bankruptcy allows you to consolidate all your unsecured debt and set up an affordable monthly payment plan to pay that debt off.
With this plan, your creditors typically only get a fraction of what you owe. While Chapter 13 bankruptcy will not immediately discharge your medical debt, it can make it much more manageable. Chapter 13 bankruptcy in Atlanta, GA can also save you thousands of dollars.
How To File
Do not go into a bankruptcy case alone. If you are exploring your bankruptcy options in Atlanta, GA, contact an attorney at Galler Law. An experienced bankruptcy attorney can help you:
- Understand the means test when filing for Chapter 7 bankruptcy
- File for Chapter 13 bankruptcy
- Deal with bankruptcy court
- Explore other options for getting rid of your medical debt
A bankruptcy lawyer in Atlanta, GA can help you through every step of your bankruptcy case, from start to finish. If you do not qualify for Chapter 7 or Chapter 13 bankruptcy, an Atlanta, GA attorney can also help you explore other options.
Medical debt is one of the most common reasons that Atlanta, GA residents file for bankruptcy each year. If your medical debt is spiraling out of control, reach out to an experienced attorney and get the help you need.