Despite our best efforts, financial hardship can strike at a moment’s notice. No matter how much savings we have, a sudden medical emergency, job loss, divorce or another emergency can leave you with nothing in the back and bills that are waiting to be paid. If something like this has happened to you, you are not alone. Hundreds of thousands of people file for bankruptcy each year because they are able to recognize the signs that Chapter 7 bankruptcy is right for them. Some of the more common signs include:
You use credit cards to pay for credit cards
When you are shuffling debt between credit cards instead of paying them off, it is often a strong indicator that you are unable to pay these monthly costs. Credit cards are one form of unsecured debt that bankruptcy can help you manage.
You are behind on bills
Despite your lack of income, monthly expenses like phone bills, internet, cable, water, rent, and electricity bills still demand monthly payments. If you are a month or more behind on multiple utilities, bankruptcy can help you discharge these debts.
You are buried in medical debt
Even minor medical treatments and procedures can come with a mountain of bills. If your monthly payments toward your medical debt is keeping you from paying for other necessities like rent or food, it may be worth considering bankruptcy to help you eliminate the medical debt.
Do not ignore the signs
There are many other signs that bankruptcy may be right for you, like if you lose sleep worrying about money or if you dread finding another late notice in the mailbox, but the best way to confirm if it is time to apply for bankruptcy is by consulting with an experienced bankruptcy attorney. Their guidance can help you identify if bankruptcy is the right option for you, and what you need to do to secure it. If you think that you can benefit from bankruptcy, do not ignore the signs, and pursue the financial freedom you deserve.