"Is Bankruptcy the Only Option?" Published On

Top Quote As the economic climate worsens, consumers look to place hope in options outside of bankruptcy. End Quote
    QuoteThere are many lawyers and firms who would like you to believe that bankruptcy is the only way to end your financial troubles.Quote
  • Chicago, IL (1888PressRelease) March 24, 2009 - With the nation’s growing unemployment rate breaking records, it’s no wonder so many Americans are in debt. People are out of jobs, bills are piling up and thousands of dollars of debt per person is being charged on credit cards, while others are choosing their last resort: filing for bankruptcy. Everyone’s got financial problems, but just when you feel like you’re at the end of your rope and bankruptcy is the only option, it probably isn’t.

    “There are many lawyers and firms who would like you to believe that bankruptcy is the only way to end your financial troubles. These people make their money off people like you filing for bankruptcy and may not have your best interests at heart,” according to an article, “Is Bankruptcy the Only Option?” on “Bankruptcy is a last resort-option that should be considered only after all other avenues have been exhausted.”

    There are many reasons a person or family may file for bankruptcy. But according to a 2005 Harvard University study, the No. 1 reason people file for bankruptcy is medical debt. In a country with a weak health care system, families can find themselves forced to foot the bill for medical costs that can easily rack up to hundreds of thousands or even millions of dollars. In such dire straits, bankruptcy seems like the easiest way to find financial relief. But always exhaust your other options first.

    The article aims to remind readers that just when you think there isn’t another way out of filing for bankruptcy, there probably is. For example, if piling medical bills seem impossible to pay off, you may be considering bankruptcy. But there’s another way: many states currently offer financial help to low-income individuals and families to offset the cost of medical care. So before assuming you have no choice but to file for bankruptcy, see what kind of help is offered in your state to offset steep medical costs.

    Other reasons Americans think they have no choice but to file for bankruptcy include downsizing at the workplace, wage garnishments, and harassment from creditors.

    “This is not to say that filing for bankruptcy is never an option, just that it should be the last one,” the article states. “The important thing to remember is that filing for bankruptcy is a decision that only you may make for yourself after careful consideration of every other option available.”

    Staff Contribution by Meha Ahmad

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