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Act quickly to reclaim your financial future

When you file for bankruptcy, your creditors will likely have to forgive some of the debt that you incurred. This might trouble you; however, you should remember that it is better for them to know now that they won't get that money than to leave it on the books. You are being financially responsible by admitting that you are in over your head.

We know that sometime there are events that lead to financial difficulties. Unexpected illnesses can lead to time off work and costly medical bills. These two factors, combined with normal bills, can create a perfect storm that decimates your finances.

Compassionate allowances can help some people

When you file for Social Security Disability (SSD) or Supplemental Security Income (SSI), you likely want to receive benefits as soon as possible. For most people, there is a long wait from the date they file until they receive their first benefit payment. This time might be filled with doctor appointments set by the Social Security Administration (SSA), denials and appeals.

Some people might worry that they are going to succumb to their condition before they ever see a single penny from SSD. What they might not realize is that some conditions qualify for a Compassionate Allowances program that helps them get benefits sooner. You can think of this as a fast track of sorts to get benefits to people who need them the most.

A guide to dealing with medical debt

Medical debt is often overwhelming and disheartening. When you end up in financial turmoil because of an accident or illness, you may feel like everything is out of control. If you are struggling with debt because of medical bills, you are not alone; it is the main cause of bankruptcy among Americans.

Health care expenses can devastate your finances. You could feel that there is no way out, but there are always options. Here are some tips for dealing with staggering medical costs:

Think of bankruptcy as a tool for your financial future

Bankruptcy protection is something that most people hope they will never have to use. When you realize that you do need to use it, you might battle with yourself because you want to pay your bills but you simply can't. This is a rough spot to be in, but it is imperative that you take an honest look at your finances so you can decide what to do.

Bankruptcy does have some positive points. No matter which chapter of personal bankruptcy you file under, the court will issue an automatic stay. This will give you relief from creditors contacting you to collect the debts.

Medical bills are treated just like others in bankruptcy

Unexpected and costly medical care is one of the reasons why some people have to file for bankruptcy.  Even when they are able to keep up with their other bills, they might feel helpless when it comes to the medical bills. Unfortunately, there isn't a type of bankruptcy that specifically addresses only medical bills. Instead, you will have to file a normal personal bankruptcy, but you might find that this is beneficial.

When it comes to bankruptcy, medical debts are treated in exactly the same way as other debts. You will have to list all of the debts that you have when you file. This includes medical and non-medical. Bankruptcy may be beneficial and relieve a great deal of stress. A successful petition will give you a fresh start and in most cases you don't lose any property such as vehicles or homes.

Learn how to handle a disability appeal

Social Security Disability (SSD) is a program that is meant to help disabled workers. There is almost nothing more devastating than finding out that you can't return to work after an injury. For many workers, this means that they miss out on doing the job they enjoy, which can be difficult to handle mentally.

What many people don't realize is that these long-term disabilities can mean they get SSD. Since they paid into this system, they shouldn't feel bad about having to collect benefits. These payments can help them get back on their feet. If you are in a spot where you need to apply for this program, you must be ready to wait a bit for the final results.

Senator Sanders says Social Security Disability needs to change

For the first time since 1982, the United States Social Security Disability (SSD) program is likely to have a higher expenditure than it does revenue for the corresponding period. This could be the start of a huge problem as the small difference becomes larger and the extra funds needed chip away at the reserves for the program. Many people say that it is time for a change, but this change needs to be carefully considered.

Back in June, Senator Bernie Sanders introduced a bill, the Social Security Administration Fairness Act, that could revamp the Social Security Disability Insurance (SSDI) system to better help the people who need it. Opponents of the bill are balking at the fact that it will cost the average person who makes $35,000 per year around $30 to 60 annually to keep up with the cost of the program, as well as the fact that the program would increase the expected shortfall for the program.

Not all bankruptcies stem from mismanagement of finances

Have you ever thought about what leads people into a situation where they need to file for bankruptcy? In many cases, the answer has nothing to do with being financially irresponsible. Many people who find themselves needing this type of protection have become overwhelmed due to factors that they can't control. In some cases, this is an unexpected medical condition.

Imagine this scenario: You are working one day and suddenly you feel a severe pain in your chest. You recognize it as a heart attack. You are rushed to the hospital and find out you were correct. Now, you are a patient and unable to work.

Steps to recover from bankruptcy quickly

Hundreds of thousands of Americans have to file for bankruptcy every year. In 2016 alone, around 483,000 individuals filed for Chapter 7 bankruptcy while approximately 296,000 filed for Chapter 13. 

Although many people view filing for bankruptcy as the end, it is really just the beginning. Once you better maintain your debts, there are various steps you can take to get your finances back on track. 

Work credits are important if you file for disability

Becoming disabled is a tragic situation for many workers. When you are accustomed to working for a living, it can be difficult to adjust to being unemployed. For some workers, meeting the definition of being disabled according to the Social Security Administration may qualify them for Social Security Disability (SSD) benefits.

In order to qualify for disability, you must not be able to do the job you were doing before. Additionally, you must prove you can't perform any other substantial gainful employment due to the medical condition. The disability that you suffer from must be expected to last at least 12 months.