Consumer Protection Law
Consumer Protection Law Questions? Ask a Lawyer Now.
Hello and welcome! My name is ***** ***** I will try my level best to help with your situation or get you to someone who can.
Can you tell me if you have equity in your home and if so, how much?
Have you considered filing bankruptcy to discharge the debts?
Ok, if you have filed BK 5 years ago, then you wouldn't be able to do so again until 8 years has passed from the initial filing.
As for the house, I am afraid that there is only a $37,775 exemption for equity in a person's home. So if the creditors sued and got a judgment, they could lien the house and force a sale of it if you have over that in equity. Now will they actually do so...I can't say.
But as a general rule, hospitals are more likely to agree to enter into a reduced payment plan than other creditors as they don't want to incur the costs of litigation and a year long case to get a judgment that they might not be able to collect on. So I would suggest contacting the hospital administrator and seeing if you could work out something to reduce the amount owed or set up a payment plan you can afford.
I would try to make all the personal loans first as they are much more likely to sue and try to enforce a judgment and are less likely to work with you on a payment plan.