People over 55 face an increasing likelihood to file for bankruptcy protection. A paper written by Robert Lawless, a law professor at the University of Illinois, and reported by MarketWatch, found a 66% increase from 1991 to 2016 for people between 55 and 64. Those 65 and over face an even greater risk as their likelihood has increased by 204% within the same timeframe.
The cause has been connected to increasing medical debt and falling behind on payments for healthcare. Typically, as people get older, mounting health issues will arise. As a result, they need more frequent visits to the doctor. They face the cost of prescriptions, and ongoing medical services as the needs arise.
In addition, many of these people face difficulty finding employment, or have cut back their work hours in anticipation for retirement. Less income means leaving themselves with a thin margin to afford bills.
Medical bills are covered under Bankruptcy laws and can be dischargeable debt, relieving the financial burden. Medical debt doesn’t only affect people over the age of 55. People with chronic illnesses or injuries often fall behind on medical payments, as well. This is especially true if these ailments cause inability to work.
If you feel that medical bills are becoming too great of a financial burden, think about speaking with an attorney on solutions to relieve yourself of debt.
If you’re facing large and ever-growing medical debt, you need help navigating bankruptcy laws. At the Law Office of Michelle Labayen, LLC, you’ll get the best advice from Michelle’s 16 years of experience.
Back in 2018 nine teachers filed a lawsuit against Navient, one of the government’s student loan servicers for misleading borrowers or blocking them from accessing a public service loan forgiveness program. According to the New York Times, out of the 146,000 applicants to the program at the time, only 3,200 saw their student loans forgiven.
Times of crisis always have a significant impact on any country’s economy. Worse, when the country is caught unprepared, and that is what we’ve witnessed around the world. COVID-19 has pushed the “superpowers” to the wall economically, and countries are struggling to remain afloat.
This week Time magazine predicted that a wave of bankruptcy filings for small businesses will ensure following the recovery of Covid-19. The government’s attempts to provide relief for small businesses have been unsuccessful to say the least since their guidelines allow for major corporations to take millions of dollars from the fund.
With cases of COVID-19 now at 586,057, where only 43,637 have recovered, while 23,604 have lost their lives, there is significant damage that’s been dealt to America’s economy. The sad fact is that we are not sure of when this pandemic will end and so the numbers may continue increasing in the foreseeable future.
President Trump signed a bill providing financial relief for Americans struggling in the wake of the coronavirus shutting down all non-essential businesses. Part of that bill granted a six-month suspension period on federal student loan payments until September 30th.
Anyone can qualify to file for bankruptcy. There isn’t an exact amount of debt or financial difficulty required. You don’t have to show insolvency or meet a certain standard.
You should always speak with a lawyer before beginning the bankruptcy process to ensure it’s the best option for you. Michelle Labayen is a knowledgeable and experienced bankruptcy attorney with offices in New York, NY, and Newark, NJ. Florida licensed attorney Drew Gaddis is counsel and would be representing all clients in Florida.