Considering bankruptcy is not really a desperate move; rather it's the second chance all of us deserve for rebuilding our finances. Many people believe it to be the last resort that's only to be tapped when you have tried all the available debt alternatives but fail to come out of the maze.
Top reasons why bankruptcy can be the solution to your crisis
If you take a look at the picture from a distance, you will see that bankruptcy gets cleared up and gradually fades away. That's the primary reason why bankruptcy laws are drafted so that you get another scope in your life, a fresh start. If you are going through a harrowing financial situation, it's time to consider filing bankruptcy for the following reasons.
Unmanageable medical expense
In 2019, the American Journal of Public Health published a report that stated that around 66.5 percent of bankruptcy cases in the US stemmed from medical problems. It included the inability to pay high bills or loss of duration from work. Even when most people are equipped with health insurance, copays and job loss is affecting the finances of Americans.
When you are afflicted by serious injury or some rare disease, or health issues, it can result in excessive medical bills which won't take much time in wiping off your savings. Once all the funds have been exhausted, filing bankruptcy can be the only way out left, and the only way to give you peace again by getting rid of your debt.
Loss of jobs
No matter whether it's due to resignation or termination or layoff, a complete stoppage to the income can be extremely overwhelming. While some people are fortunate enough to get severance packs, in most cases you are likely to receive a pink slip on the work desk without any prior notice.
Without an exigency fund from where you can draw money and having to depend on the credit card alone can be a disastrous experience. Many people do not have enough savings for emergency situations that can help them buffer a job loss or similar financial problems. Those who are not able to gain employment cannot recover from the pecuniary crisis. Filing bankruptcy can help curb the negative impact of the situation.
Excessive use of credit
It's no secret that some people have no control over their expenses. Installment debt, credit card bills along with other loan repayments can subsequently go out of control till the borrower comes to a position from where they are not able to make the minimum payment.
When you cannot get access to required funds from friends or other members of your family, then considering bankruptcy can be your best bet. If you take a look at the prevailing statistics, you will see that debt consolidation often fails owing to several reasons. It's true that home-equity loans can help in some instances, but as soon as it is exhausted, you can face foreclosure on your home. Needless to say, a bankruptcy lawsuit can save the day for you.
With the help of an experienced and adept lawyer, you can file a bankruptcy lawsuit that can help you stop repossession, foreclosure, and wage garnishment. Wait no further. If you're going through a similar situation, talk to a bankruptcy lawyer today.
Call Fong Law Group at (626) 289-8299 for a free consolidation, and talk to an attorney today. We are here to help you get through this difficult time in your life, and help you with a Fresh Start.