Medical bills forced politician into Chapter 7 bankruptcy

June 6, 2014 2:30 pm Published by


Many New Yorkers may face massive medical bills and end up drowning in debt, no matter how hard they try to repay them. Some have no choice but to file for bankruptcy in order to rebuild their credit. A politician has recently admitted to having to file for Chapter 7 bankruptcy in 2003.

The Republican candidate from Oregon, who is preparing for the November 4 election, filed for bankruptcy due to the debt he faced from his ex-wife’s illness. The couple had no health insurance at the time. They had owed $20,000, mostly in medical debt. In addition, two creditors — Asset Management Outsourcing and Western Credit and Collection — filed lawsuits against the couple, for a total of more than $13,000. The debts and lawsuits were combined into the bankruptcy filing.

The marriage could not survive the medical and financial problems the couple faced, and the two divorced later that year. The ex-wife received the treatment she needed and recovered from her medical condition. Both have since remarried.

Although opponents would likely use the politician’s bankruptcy as part of a mudslinging campaign, the man prefers to think positively of the situation. He says that it shows that everyone has issues they are faced with, and the bankruptcy has made him more compassionate of the struggles people face.

Those struggling with debt have the opportunity to obtain a fresh financial start through bankruptcy. Financial challenges can stem from medical bills, overspending or just bad money habits. People from all walks of life — even the rich and famous — have used bankruptcy as a second chance at financial freedom.

Source: Oregon Live, “GOP House candidate says medical bills caused bankruptcy filing” Yuxing Zheng, Jun. 04, 2014

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