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Coronavirus Impact and Assurance: Yes! We are still open for business!

For the last year, thanks to the hard work of all of our staff, and you, our clients, no one who works at this office has gotten Covid while working here, and we have not spread a single case to any of our clients, while getting all of our client's legal needs taken care of. With the spread of vaccination the end is in sight, normal times where we can meet our clients in person in the office are just around the corner.

During the transition we will be having some in person, in office appointments for clients who have already been vaccinated, and for whom the CDC recommended period of time has passed since their last shot. Of course, for anyone who would prefer a phone or video appointment for safety, convenience, or any other reason those types of appointments are always available.

For our clients who have not yet completed the vaccination cycle phone and video appointments are of course available, and, with the return of warm weather we will again be offering outside appointments under the tent right outside our front door. For all appointments, masks will continue to be required.

Through the transition safety of all staff and clients will continue to be our top priority, we look forward to seeing you soon.

Please see our blog for more info on pandemic response.

The role of medical bills in bankruptcy

| Sep 30, 2020 | Bankruptcy

Health care costs in America continue to trend upward and insurance costs follow suit. The Affordable Care Act made health care more accessible to more people, but costs are still high. In fact, even with government assistance, many people cannot afford adequate health care. Because of this, Minnesotans may still end up with medical bills out of their reach.

CNBC reports that of all bankruptcy proceedings, medical bills contribute to 66.5% of filings. In fact, every year, medical bills cause around 530,000 families to file for bankruptcy.

Understanding medical bankruptcy

When finances spiral out of control during a health crisis, families often consider filing for medical bankruptcy. Credit Karma reminds readers that no legal term exists by that name. It only describes a reason people file for bankruptcy. Subsequently, individuals still need to choose Chapter 7 or Chapter 13 bankruptcy and follow the established processes for these.

Acknowledging the impact

Sometimes, bankruptcy really is the only suitable option someone can choose. It may allow the individual to erase debt and start over. Bankruptcy may also allow better debt restructuring, which may reduce payments. Even so, consequences exist. For example, the individual’s credit score may take a serious hit. This ding may last for up to 10 years. Depending on the bankruptcy route chosen, the person may also lose a significant portion of existing assets to repay the debt.

Lawmakers across the country have taken several steps toward expanding Obamacare to improve coverage availability and quality. Minnesota is one such state. However, it will take more than this to help protect residents from the potential need to file for medical bankruptcy.

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