While bad financial habits can definitely lead someone down the path of bankruptcy, it isn’t the only way people can find themselves in such economic hardship. Bankruptcy can be a necessary lifeline for people facing overwhelming and unexpected circumstances.
Life Happens—And It’s Often Beyond Our Control
Despite many individuals’ best efforts to plan ahead and set money aside for emergencies, sometimes life brings curveballs that you could never imagine. Ultimately, job loss, medical emergencies, divorce, and economic downturns can derail even the most carefully laid financial plans. The ’07 through ’09 recession is a terrific example; in fact, overall bankruptcy filings accelerated during this time. When someone turns to bankruptcy in these circumstances, it is often not due to money management challenges but more of an effort made for basic survival.
Bankruptcy is a Tool – Not a Sign of Immoral Character
The truth is that modern bankruptcy exists for a reason. The main reason is to help give people a fresh start. Thankfully, the U.S. legal system is aware of how devastating financial hardship can be and how easily it can occur even without irresponsibility on the part of the filer. Filing for bankruptcy is not a moral decision – it’s a legal one. And in many cases, it’s the most responsible step someone can take to address their financial situation head-on. If you want guidance through this process, experienced Philadelphia bankruptcy lawyers can help you evaluate your options and protect your rights. A short consultation can clarify whether a filing aligns with your long term financial goals.
Small Business Owners and Entrepreneurs
Wanting to break into the small business world to hopefully one day provide a better future for yourself and your family is a commonly shared goal for Americans. However, every budding business owner knows that there are risks involved in launching and growing a company. Many business owners end up filing for bankruptcy after a venture doesn’t go as planned. This doesn’t make the business owner irresponsible – it makes them human. Some of the most successful entrepreneurs in history have filed for bankruptcy at one point, only to bounce back stronger.
The Emotional Toll of Debt
Money is one of the greatest sources of stress for American households. For many, debt may seem like a trivial financial hurdle not worth worrying over; for others, it’s a significant cause of daily stress. Whether it’s due to the fear of losing a home or vehicle from being unable to pay for debt and other expenses or simply preferring a no-debt lifestyle, carrying debt can have a significant emotional toll. Going down the path of bankruptcy can offer the emotional relief an individual is feeling from constant financial anxiety.
Shifting the Conversation
It’s time to stop thinking of bankruptcy as a personal failure and start viewing it as what it is—a financial tool. Just like refinancing a loan or consolidating debt, bankruptcy is one of several options available for regaining control of your finances. Filing doesn’t mean you’re giving up; it means you’re choosing to fight for a better future.
Consider Legal Guidance from an Experienced Attorney
If you’re overwhelmed by debt and feeling unsure of your next steps, know that you don’t have to navigate the process alone. Baltimore bankruptcy lawyer, Adam M. Freiman has been helping individuals and families navigate the legal side of bankruptcy for over 25 years. If you are considering bankruptcy, find an attorney that specializes in this field. Don’t go it alone.
Tradersdna is a leading digital and social media platform for traders and investors. Tradersdna offers premiere resources for trading and investing education, digital resources for personal finance, market analysis and free trading guides. More about TradersDNA Features: What Does It Take to Become an Aggressive Trader? | Everything You Need to Know About White Label Trading Software | Advantages of Automated Forex Trading
