Life can get tough, and not everyone feels like they are in good financial shape. In fact, most people have some kind of debt that lingers over them every single day, but that doesn’t mean they should rush to file for bankruptcy. Deciding to file for bankruptcy is a choice that will have pros and cons, but can be a resource for those in true need of a financial restart, especially if going back would be worse. If you aren’t sure if bankruptcy may be in your future, here are signs that it may give you the financial redo that you’re looking for:
You Are Spending More Than You Earn
This is one of the primary reasons why people consider filing for bankruptcy. If your expenses total more than what you make per month, then you are probably just continually getting yourself into more debt. Even without scrutinizing your bank statements, you probably already know whether or not the balance between what you earn and what you spend is off-kilter. If you don’t anticipate a wage increase or changing jobs anytime in the near future, then you may want to consider whether filing for bankruptcy is going to benefit you.
You Have To Delay Essentials
Do you find yourself putting off routine dental care, buying prescription eyeglasses, getting new car tires, or delaying some other kind of life essential? You must take care of your vehicle, home, and health. If you avoid paying for things that will keep your body and living space taken care of, you may end up facing an even worse situation because you delayed doing it. It isn’t a good sign if you are paying for these essentials but have to run up your credit cards in order to do so. You may not be able to afford the monthly payments and added interest, which further points you in the direction towards eventual bankruptcy.
You Feel The Burden of Your Debts
Thinking about our responsibilities and debts is enough to cause anyone to stress out. But if you feel the weight of your debts so much to where your mental health and relationships are suffering, then it may be time to consider your resources. Depending on the bankruptcy status you file under (there are six bankruptcy chapters), not all of your debts may be eradicated. However, it may still be enough to give you the financial cushion and mental ease you need to feel in control of your money.
As our bankruptcy lawyer can attest to seeing, many people are slowly getting themselves into so much debt that they cannot ever pay it back. But thankfully, there are resources out there, like bankruptcy, that can give someone’s life a turn around for the better.