When is it time to consider bankruptcy?

I live in Arizona.

When is it time to consider bankruptcy?

I hope that's not a dumb question. I own my home free and clear, but I'm on disability so even covering the taxes every year is a challenge. Even though I'm on Medicaid, I still wound up with apx $15k in debt due to medical problems. That was charged to 2 credit cards. Now I can't eat every month.

I'm not even sure if bankruptcy will help me.

Consider different scenarios that will work for your budget. Can you sell the home, take the profilts, invest some, pay off your bills, and move to a cheaper place that is within your budget? Also, look in your yellow pages for NON PROFIT debt counseling----these are NOT loan consolidation people---these are people who work with your creditors in setting up repayment. They can give you free or low cost advice, objectively, on how to proceed. Just make sure the company is a non profit group. There is one in our area sponsored by the United Way.

Good luck.

This is the lowest cost home and area that I've ever known and I've lived in several different areas (in better days). It needs a lot of fix up. So the results from selling would be minimal.

And quite frankly, it scares me to be without a home. I did have to go homeless once for a month, and I had a van + enough money to stay in a campground which was like a vacation. It was not something I ever wanted to do again. I don't think people realize how hard it is. Even getting food stamps or a food box was next to impossible. Same with medical care.

I am looking for ideas.

Thanks so much.

Most people know when they are bankrupt because they realize that they cant do anything with their money, assets, etc.

First, you own your home free and clear, not many folks can say that these days. Thats a huge asset. Second, you are on disability, are you at retirement age? If so, there may be a "senior" program in your state that relieves the taxes on the property for senior homeowners, please call the assessor in your county to determine if the program exists. If you are not at retirement age, there may be a non-profit organization in your community that can help you with the tax bill. If you are on Medicaid, how specifically did you end up charging 15K to two credit cards? If Medicaid won't cover these expenses you had to run up, there may again be a non-profit organization right in your county that may be able to help, contact your local social services and see what they can come up with. Next, contact those credit card companies and send in a hardship letter immediatley so they can stop hitting you with late fees/interest expenses. Tell them your situation, and work out a plan for sending the absolute minimum monthly payment and even get that reduced to bare bones. You own your home, the worst they can do if you really can't pay anything is sue you and get a judgement against you. They can't take your home, you could send them $5 a month for the rest of your life if you want, they can't take your home. Your welfare comes first(which includes eating), so don't send them huge amounts of money when you need it to live. Call them and get something worked out on a much lower repayment plan, and call your social services and do some research on what programs are in your area that can help you with the medical bills you have and those in the future you may end up having. Knowledge is power, good luck.