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Bankruptcy Bits: Subprime lender subsidies; Foreclosure depression and Japan’s lack of medical bankruptcies

I thought I’d share a few interesting articles from the news that all relate to bankruptcy in one way or another:

1.  “Subprime Lenders Getting U.S. Subsidies, Report Says” – Countrywide (now owned by Bank of America), Wells Fargo and other major subprime lenders are now apparently getting subsidies from the government to make more loans, according to The Washington Post.

2.  “Home Foreclosures and Depression” – People facing foreclosure have more issues with depression, according to the Wall Street Journal blog “The Wallet.”  No surprise there, but the article also cites research about how people facing foreclosure are also less likely to get their prescriptions filled for important things like anti-depressants.  It also points out that people’s health suffers in other ways leading to greater medical problems.  This may be the ultimate irony in some cases since medical bills often lead people into bankruptcy and foreclosure in the first place.

And on a related note…

3.  “Healthcare Abroad:  Japan” – It turns out that medical-related bankruptcy is a non-issue in Japan because everyone is covered, according to this article from the New York Times.  There are also no forms to fill out and no worries about whether a particular provider is covered or not.  They do, of course, have their own issues which are described in the article.  But the main reason cited for Japan’s relative success has been the government’s ability to come up with an effective cost-containment system.

Can you imagine if we had no medical bankruptcy?  It might put a lot of bankruptcy lawyers out of work.  But I think everyone (other than those bankruptcy lawyers) might be a lot happier.

If you’re facing foreclosure in New York or dealing with medical bills and contemplating bankruptcy in New York, please get in touch for a free initial consultation.  A lot of things are tough these days, but the bankruptcy laws do offer protections and I’m happy to sit down, answer your questions and explain to you what options you have available to you.

Read more: Brooklyn NY Foreclosure Attorneys

Rosenberg, Musso & Weiner, L.L.P
26 Court St # 2211
Brooklyn, NY 11242, USA

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