Eliminate Medical Debt


Medical Debt Relief

kentucky medical debt collection laws

The accumulation of medical debt can be both frustrating and startling. A sudden medical emergency of yourself, your spouse, your child or more may cause you to take on overwhelming debt. When unpaid bills become insurmountable, you need skilled legal guidance to consider your options to eliminate medical debt, as well as the other debts that are likely a result of the financial hardship brought on by medical debt. 

Medical bills are a common reason many people have debt in Kentucky and throughout the country. Some people cannot pay on time, which may lead to being fined late charges or getting turned over to a collection agency. However, a debtor still has options to get out of medical debt.

At O’Bryan Law Offices, our attorneys assist individuals and families across Kentucky and Southern Indiana to overcome their medical debts and move forward. With over 50 years of combined experience, our lawyers provide a compassionate approach to explore your options.

Medical debt refers to debt accrued from using health care services. Statistics reveal that 56% of Americans have medical debt, which may be handled in different ways. In some cases, the medical facility or doctor may attempt collection. If the debt gets sent to collections, the debtor no longer pays the doctor, and they have to make payments to the agency. Consumer Reports says that 30% of Americans get their debt turned over to collections.

Medical debt can accrue even if the debtor stays on top of their finances. Hospital bills, sudden illnesses or accidents, and drug costs are top reasons for medical debt. Given the cost of health care, it could be impossible to avoid debt.

Individuals with the best health insurance can still be responsible for debts. For example, after a car accident, a person may get taken to a doctor not in their network. Insurance still comes with out-of-pocket expenses and possibly denied claims.

People have several options to handle medical debt. A debtor could get a medical loan especially designed for health care debt. These can be obtained through the facility or another lender and often do not requires collateral.

Asking debt forgiveness is another option. Debt forgiveness requires that the patient write a letter to ask a portion of the debt be erased. They also have the options of grants, low-interest credit cards and medical credit cards.

If the debtor sees no way out of medical debt, they might choose to file for bankruptcy. An attorney may be able to provide advice about the available options and assist a person in filing a bankruptcy claim.

Medical Debt Can Quickly Accumulate

Medical debt can quickly accumulate after a wide array of unprecedented events, including:

  • An unexpected diagnosis
  • A catastrophic accident
  • Expensive prescription drugs
  • A costly routine medical procedure
  • A necessary surgery

A car accident, fall on the playground or diagnosis of a serious illness can leave you with no choice but to accept treatment. When you lack the means to pay back the debt, hospital bills can quickly add up.

Bankruptcy For Medical Debt Relief

Filing for bankruptcy is not always appropriate. We will discuss when it could be in your best interests to determine a payment plan with the care provider, stick to a rigid budget or consider other options.

However, in many cases, filing for Chapter 7 bankruptcy or Chapter 13 bankruptcy can provide the relief you need. Chapter 7, a common type of bankruptcy for individuals, can discharge you from your unsecured debts, which typically includes medical debt. Chapter 13, a common option for those with income and assets they wish to protect, can reduce unsecured debts and form a court-approved extended payment plan.

Medical Debt Collection Laws

Juggling medical debt can leave you unable to pay other essential expenses and lead to constant harassing calls from creditors. When you meet with our attorneys, we understand the financial strain you are experiencing. Led by board-certified founding attorney Julie O’Bryan, our family-based firm takes a team approach to your case. We offer sound, thorough guidance throughout a turbulent time.

Get Help: Medical Debt Relief

After a medical emergency, it can be stressful to also manage overwhelming debt. Consult with our lawyers to determine your options at our Louisville, Frankfort or New Albany offices. Schedule a free initial consultation with us by calling 502-400-4020 or by sending us an email.

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.