The term medical bankruptcy is bandied about quite a bit these days, but there is no such thing as medical bankruptcy. Bankruptcy is bankruptcy, whether it was caused by your medical debt or not. But that said, medical debt is the leading cause or determining factor in more than half of all bankruptcies in American today. So, if you're struggling with medical debt you may need to contact an attorney to see about bankruptcy.
People who file a personal bankruptcy because of medical debt will have the choice between filing a Chapter 7 bankruptcy and a
Chapter 13 bankruptcy. These two forms of bankruptcy are very different and in most cases someone with medical debt would prefer a Chapter 7 bankruptcy as it will wipe out the debt. But if you have considerable assets you want to keep, such as a home, then filing for Chapter 13 may be more appealing. There are also tests to see which bankruptcy you qualify for, so you may not have an option between the two.
One thing your Chicago bankruptcy attorney will explain to you is the importance of timing your medical bankruptcy. All bankruptcies require an evaluation of the timing of debts to make them as advantageous as possible, medical debts are especially troubling though because the bills can go on for years and years or they can come back. The kicker is that once you file for bankruptcy and your bills are discharged then you are not allowed to file again for several years, so the debts you accumulate after your bankruptcy are yours to pay.