Anyone who watches the news can tell you medical bills are a leading cause of bankruptcy in the U.S. Even in the midst of a severe housing crisis with millions of people in foreclosure, losing their homes and filing for bankruptcy, there must be some kind of relief offered to those who need it the most. Americans without health insurance — about 45 million large — are in a precarious situation. Many are not "poor enough" to take advantage of government sponsored programs like Medi-Cal, for example, while others who do have insurance are under-insured for the medical needs they have. A critically ill person with ongoing medical needs will have ongoing medical bills, and often there is no end in sight to insurmountable medical debt.

But Phoenix bankruptcy attorneysknow there may be new hope for those in medical bankruptcy. U.S. Rep. Mary Jo Kilroy, [D-Ohio] has proposed a new bill that specifies all medical bills paid off or settled (by way of bankruptcy through a Phoenix bankruptcy attorney or debt reorganization) would "fall off" of an individual's credit report, thus improving their credit within a 30-day timeframe rather than the up to seven years it may take otherwise. Kilroy supposes that those who struggle with medical debt should be treated differently than those with consumer debt because spending on credit cards is something individuals generally have control over while medical debt is most likely unavoidable.

While Kilroy's bill will not solve the issue of mounting medical bills, at least it gives families a chance to regain a decent credit score; even if they must file for Chapter 7bankruptcy, they will do so knowing medical debt won't stigmatize their credit score when a bill like Kilroy's is passed.

If you are struggling with medical debt consider contacting a Phoenix bankruptcy attorney to help you decide if bankruptcy is a viable option for you.