Personal bankruptcy: when it truly makes sense
On behalf of The Rollins Law Firm posted in Personal Bankruptcy on Tuesday, March 31, 2015.
A financial columnist recently took a look at one couple's debt picture and pronounced it "a good example of why – bankruptcy is better for consumers than financially limping along."
Many individuals and families across the United States, including in Mississippi, think hard about bankruptcy as a potential option for dealing with what seem to be truly insuperable debt levels.
In doing so, it is certainly not uncommon for many of those consumers to harbor great fears and uncertainties regarding their financial challenges, and to wonder whether a bankruptcy filing is truly something that might make sense.
Sometimes it can seem clear to impartial outsiders – especially debt-relief specialists and financial professionals – that a Chapter 7 or Chapter 13 bankruptcy filing can indeed be a sound and logical response to insuperable debt.
That was certainly the view of the above-cited columnist upon reading the particulars described by one couple. Over time, their debt slowly yet inexorably increased until the point that they became unable to make any dent in it. Their small business was beginning to thrive, but credit card payments took virtually all their capital each month. They were worried, though, that they could lose their home, assets and business if they filed for bankruptcy.
The columnist found their personal situation to be a classic illustration of the type of scenario that bankruptcy can best address. He reminded the couple that filing for bankruptcy is a legal process through which debt is lawfully eliminated, and that troubled businesses routinely avail themselves of the relief afforded by bankruptcy to shed troublesome debt levels.
A proven bankruptcy attorney can provide relevant and detailed information regarding bankruptcy's utility as a debt-relief measure.