Medical debt stands in the way of debt relief

On Behalf of | Apr 18, 2019 | Debt Relief

Seeking prompt medical attention for serious illnesses and injuries is important, but many people in Connecticut might be skipping out on essential treatment. Fear of going into debt because of medical bills is a sad reality for many Americans, and for some it is unavoidable. As patients borrow more and more money to pay off medical debts, some may be in need of options for debt relief.

A survey from West Health-Gallup discovered that over a period of 12 months, one in eight Americans borrowed to cover their medical bills, totaling an astounding $88 billion. The survey also found out that 65 million adults completely avoided necessary medical treatment because of the associated costs. About 25% of adults said they had to make cuts to their spending in order to afford care.

This is not a problem of low-income versus high-income or those without insurance against those who have coverage. Even 33% of people with household incomes over $180,000 reported that they feared suffering a medical event, as it could completely wreck their finances. Americans in general are extremely worried that a health problem could lead them to bankruptcy, which is understandable. Medical debts are currently the number one contributing factor to personal bankruptcy filings.

For most people in Connecticut, the thought of filing for personal bankruptcy is a scary one. However, rather than landing on rock bottom, successfully pursuing bankruptcy often gives people the debt relief they need for a brand new start. After completing the process and discharging eligible debts, most people have the opportunity to begin constructing a new sense of financial security.