Exactly what is bankruptcy or bankruptcy due to medical bills? Bankruptcy is a set of laws designed to protect the consumer that, through a federal legal process allows a consumer’s debts to be forgiven or partially paid back in a managed way. The federal bankruptcy law recognizes that bad things can sometimes happen to any American, regardless of their income, often through no fault of their own (i.e. medical emergencies or job loss), and American consumers sometimes just don’t have…