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Chapter 7 Bankruptcy In Chapter 7 bankruptcy , eligible unsecured debts, including medical bills, may be discharged. That means the debtor is no longer legally obligated to repay these debts. The debtor can move forward without medical bills once the process is finalized. It usually takes a few months to complete.
While different from Chapter 11, Chapter 13 is similar in the sense that it involves reorganizing and consolidatingdebts. This filing method is referred to as “the wage earner’s plan” because filers repay some of their debt balances with their regular income.
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