Filing for Bankruptcy Saves Everyone Money Skip to main content

You are here

Filing for Bankruptcy Saves Everyone Money

Print

With many experts predicting a protracted economic malaise with imperceptible growth and stubbornly high joblessness, bankruptcy filings appear to be in true recession-era form, rising in recent months, and, according to many analysts, increasing with no end in sight. In fact, during early summer, the American Bankruptcy Institute (ABI) validated these fears, reporting that personal bankruptcy filings increased in 2010 compared with only one year ago.

As bankruptcy figures continue to rise, many critics are charging insolvent Americans—seeking shelter from personal bankruptcy—as being responsible for raising interest rates, cutting consumer confidence and retail sales, and outfoxing creditors while other, less indebted Americans are required to pick up the slack…and the tab.  In reality, though, Americans who have filed for bankruptcy are in many ways saving all of us money.  And you could too, while also saving yourself years of bills, harassment and stress.

Don’t believe it? Are you considering bankruptcy, but feeling guilty about adding to broader socioeconomic burdens? Well fear not. The truth is that avoiding bankruptcy costs more, and here’s why:

Bankruptcy Avoids Expensive Creditor Litigation
Creditors can be an ever-present, and unwelcome, part of the lives of many debtors. And when consumers attempt to go it alone and avoid bankruptcy, they often find themselves embroiled in creditor lawsuits—battling banks and other businesses for returns on debts they cannot afford to pay in the first place.  Because creditor litigation can be more expensive than the debts in question, often ending without a resolution and with the debtor still unable to pony up, these lawsuits act to siphon money from creditor accounts, wasting not only their money, but also draining resources from the business’s community: including its ability to keep people employed, and support the community of people on which it depends. By contrast, a debtor who files for bankruptcy not only avoids litigation and further creditor harassment, returning what they can to the creditor for a clean financial slate, but it preserves those business resources that can keep a broader community afloat in these tough financial times.

Bankruptcy Can Stop the Foreclosure Crisiss
With the economy in the gutter, underwater mortgages an everyday occurrence, and home equity not what it used to be, barring a bankruptcy filing, Americans are losing their houses to foreclosure in unprecedented numbers. But debtors who avoid bankruptcy and lose their biggest asset aren’t the only ones suffering from a loss: communities with high foreclosure rates lose their financial value, aesthetic value and are less safe than communities with homes that are filled to the brim with families. This ripple effect to the larger community could be solved with a bankruptcy filing—all from the safety and comfort of your own “home sweet home.”

Bankruptcy Can Mean Increased Productivity
If you’re reading this blog you are likely considering bankruptcy. And if you’re considering bankruptcy, you know the tremendous emotional and physical toll that being buried in debt can have on a person’s life. Overwhelming stress, doubt and even fear can result from having too much debt to handle and feeling there’s no way out. And this stress cannot only impact you, your family and your friends, but also your work, your co-workers and your ability to get the job done. In turn, bankruptcy can reduce stress and financial distraction, allowing a person to be more productive—at their job and in their community—for months and years to come.

If you are drowning in debt and creditors are harassing you, underwater in your mortgage and facing foreclosure, or succumbing to the stresses of your poor financial portfolio, bankruptcy can be the key to better financial future for you, and the people around you.

If you meet any of the above criteria, it’s never been more important to act now, seeking competent and experienced bankruptcy counsel from the very start. An experienced bankruptcy attorney knows the ins and outs of the bankruptcy process and can assist throughout your case.

The bankruptcy experts at the Law Offices of John T. Orcutt offer a totally FREE debt consultation and now, more than ever, it’s time to take them up on their offer. Just call toll free to 1-888-234-4181, or during the off hours, you can make your own appointment right online at www.billsbills.com. Simply click on the yellow “FREE Consultation Now” button.

Debts Hurt! Got debt? Need help? Get started below!

What North Carolina County Do You Reside In?