 TITLE: Can You Declare Bankruptcy on Medical Bills? CONTENT: Chapter 13 Bankruptcy and Medical Debt\n--------------------------------------\nChapter 13 bankruptcy focuses on making debt repayment more manageable. After taking into account all of your debt, income and assets, a Chapter 13 bankruptcy establishes a court-mandated plan that helps you repay some or all of your debt—including medical bills—in affordable monthly installments that do not exceed 15% of your disposable income. Additional details:\n*   **Chapter 13 creates a three- to five-year repayment plan.** The plan is based on your debt and income levels. Some or all of your remaining debt may be discharged at the end of the repayment period, freeing you from further payments.\n*   **Debt cannot exceed certain levels.** To file for Chapter 13 bankruptcy, you must have no more than $394,725 in unsecured debt and no more than $1,184,200 in secured debt.\n*   **You must have regular income.** For Chapter 13 to work, you need the means to repay your loans, even at a reduced level.\n*   **Chapter 13 may be better for homeowners.** Chapter 13 halts the foreclosure process and requires your mortgage lender to let you include your home loan as part of your repayment plan.\n*   **Resolution takes longer.** While a Chapter 7 bankruptcy is over in four to six months after the proceedings end, Chapter 13 stretches out over years. END