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Vallejo is using federal bankruptcy laws to stick it to unsecured creditors.

Please consider Vallejo Plan Would Give Unsecured Creditors 5 to 20 Cents on the Dollar. Unsecured creditors will receive 5 cents to 20 cents on the dollar for their claims under a reorganization plan Vallejo, Calif., filed Tuesday in federal court.

The plan to exit bankruptcy outlines the reorganization of debt the city owes its largest creditors, Union Bank and National Public Finance Guarantee. It also [...]

Most driven into debt and bankruptcy by medical bills have health insurance.

Washington’s Blog

Most driven into debt and bankruptcy by medical bills have health insurance. For example, Reader’s Digest notes:

Between 2000 and 2003, seven in ten adults who were driven into debt by medical expenses had insurance at the time.

Similarly, as of 2009:

More than 2.2 million California adults report having medical debt, and two-thirds of those incurred the debt while insured, according to the authors of “The [...]