Medical bills discharged or not

[wnguyen]

One of my co-workers just talked to me this morning and he said that most of his debts were medical bills. To make matter worse, they're not dischargeable because the hospitals are government-owned or the government has stake in (like GM). He consulted 2 bk lawyers and they both told him the same thing. Is this true? Even back taxes that are older than 3 years get discharged, why these medical bills aren't?

[JEM]

Hmmm, I've NEVER heard of that. I don't think those attorney's knew what they were talking about.

[keepinitreal]

Medical bills are dischargable, like any unsecured debt. Unless of course, someone gets a nose job and then files bk the next day. THAT debt probably wouldn't be dischargable.

[AngelinaCat]

I haven't heard of this. We had medical bills, and they were discharged. But our providers were private businesses, and the government did not have any connection with them--at least as far as I know.

One of our providers tried to get their claim prioritized above that of the IRS. That got tossed.

[wnguyen]

He said to me because the government is involved (has owned or partially owned) these hospitals, they won't allow it. I'm kind of confused. Either he didn't tell me the whole story or something's going on.

[tcreegan]

wyguyn,

Your co-worker has been sadly misinformed.....medical bills are dischargeable even if the facility is govt owned; federal, state, or local.

Govt items that are not discharged are taxes, fees, penalties, and court-ordered payments (child support, alimony, restitution, etc)

The applicable BK code is Title 11 § 523. Exceptions to discharge

Tell your friend that unless there was fraud involved, the medical bills can be discharged.....

and get better lawyers....

Tom in Colo

[wonderingrov]

I've never heard of medical bills not being able to be discharged either (government hospital or private hospital). And for me, my medical bills (around $75K) were one of the main reasons I filed.

[keepmine]

I don't think your friend is giving you the whole story.
I doubt seriously he has even spoken with an attorney.

[wnguyen]

Wow. This is good news for him. thanks Tom and all others for your input.