South Dakota Medical Debt Lawyers

Costly medical expenses are one of the most common reasons individuals here in the United States fall into debt. In fact, one study has shown that South Dakota has one of the highest shares of adults who have medical debt. Falling into debt is a frightening experience, especially when it’s so significant that you’re unable to pay it off, even over time. That said, if you find yourself struggling with medical debt, you have options, and our debt relief lawyers are here to help you explore those options. Contact 605 Bankruptcy for a free consultation today so we can discuss your circumstances.

How Can Individuals Accumulate Medical Debt?

Medical debt can accumulate alarmingly fast, often catching individuals off guard. Even those with health insurance can find themselves burdened by substantial medical expenses due to high deductibles, co-pays, or uncovered treatments. A single medical emergency, such as a car accident or sudden illness, can result in tens of thousands of dollars in bills, particularly when hospital stays, surgeries, or specialized treatments are involved.

Routine medical expenses can also spiral into unmanageable debt. Diagnostic tests like MRIs or CT scans, ongoing treatments for chronic conditions, and prescription medications can steadily pile up, especially for individuals who are uninsured or underinsured. Additionally, costs associated with childbirth, rehabilitation, or mental health services frequently add to the financial strain.

Unfortunately, the issue is compounded by the unpredictable nature of medical expenses. Unlike other types of debt, medical bills are often unexpected, leaving little time for financial planning. This sudden influx of costs can easily overwhelm even those with steady incomes, pushing individuals to rely on credit cards or loans to make ends meet—ultimately increasing their debt burden further.

How Can I Discharge Medical Debt Through Bankruptcy in South Dakota?

Bankruptcy can provide a powerful solution for individuals overwhelmed by medical debt, offering a path to financial relief and a fresh start. In South Dakota, medical debt is considered unsecured debt, meaning it is not tied to any collateral like a home or vehicle. Because of this, it can often be fully discharged through bankruptcy, depending on the type you file.

If you choose to file for Chapter 7 bankruptcy, medical debt is typically discharged entirely. Chapter 7 is designed for individuals with limited income and significant debt, allowing them to eliminate qualifying debts quickly—often in as little as a few months. To qualify, you’ll need to pass a means test, which evaluates your income and financial situation.

For those who don’t qualify for Chapter 7, Chapter 13 bankruptcy is another option. Under Chapter 13, your debts, including medical debt, are reorganized into a manageable repayment
plan spanning three to five years. At the end of the repayment period, any remaining qualifying debt may be discharged. This allows you to address medical bills while protecting your assets and maintaining a steady payment schedule.

Contact Our South Dakota Bankruptcy Lawyers

Don’t attempt to go through the bankruptcy process on your own. The knowledgeable and skilled medical debt lawyers here at 605 Bankruptcy can effectively walk you through the process and safeguard your financial future. Contact our legal team today to schedule a free initial consultation.