The most common type of debt that people seem to be trapped under involves home loans and credit card debt, but medical debt issue is a significantly growing concern. According to a recent survey, 1.7 million people in New Jersey and across the United States filed for personal bankruptcy because of unpaid medical bills in 2013. During the recession, many people earned less while the cost of healthcare steadily increased.
Part of the medical debt issue can be attributed to billing errors. As part of the survey, respondents noted that the bills they received were all higher than they had projected. An analysis completed by Medicare Compliance Reviews for 2013 found that nearly half of the claims that were audited had errors and that none of the hospitals were in complete compliance. The prices for services vary by region and by hospital. Hospitals in New Jersey and California reportedly have the highest prices.