November 19, 2013

It is important to know that the stigma that went along with filing for bankruptcy in the past just is not the same today.

In the past, individuals with good credit could assume, and rightfully so, that they could always qualify financially to obtain a mortgage or to refinance. Today, that same individual may have difficulties in increasing their limits on a credit card. In the world of layoffs and downsizing, people are finding it difficult to earn the same amount of money they were earning five years ago. There seems to be no light at the end of the debt tunnel.

If individuals/families can’t find a way to pay their monthly mortgage payments, what happens when coupled with that, there is an illness or life changing event in their lives? Their situation worsens and they continue to try to use their credit cards to pay “normal” expenses. The situation spirals until, it is out of control. These are hardworking families who are devastated with their situation.

Unfortunately, with the embarrassment that individuals feel, they wait too long to come to a bankruptcy lawyer. There is no embarrassment or shame in bankruptcy-instead it is a way to face their current financial situation and make a fresh start and a positive step to resolving their money problems. In addition, considering bankruptcy is a positive move to chart a new path and protect their future.

When someone comes to the realization that things are just not getting better; the creditor calls are increasing, credit lines are at the limit, and their homes could be in foreclosure, individuals should look for the advice from an experienced bankruptcy attorney.

In summary, no one should be embarrassed to file bankruptcy but when you do make that decision to determine if bankruptcy is right for you, set up an appointment with an attorney who specializes in bankruptcy filings. Bankruptcy should be viewed as a fresh start for the future rather than you failed. Sometimes not filing for bankruptcy protection is the failure.