Bankruptcy is a huge financial decision to make. When you are faced with this possibility, you might find that everyone has some advice, opinions or cautionary tales. It is important for you to vet these before you heed them. There are many misconceptions about what bankruptcy entails.
Common myths about bankruptcy you shouldn't believe
Some hope for consumers with student loan debt
The high and continually rising cost of higher education seems to all but force many people in Mississippi to take out student loans in order to fund their college degrees. In theory, these loans can be very valuable and if a person is able to get a job that pays enough after college, they may be able to repay all of their loan debt. Yet, it seems that many consumers today struggle with many types of debt and student loans are part of that challenge.
How to rebound financially after a bankruptcy
Many people in Mississippi who struggle with high levels of debt might have thought about filing for bankruptcy but then not done anything about it because of fears that it might ruin them financially forever. This is far from the truth. In reality, bankruptcy is designed to not only help consumers get our from under mounds of debt but to be a stepping stone to a brighter financial future. Knowing how to make this happen is important.
Can foreclosure ever be your best option?
Despite your best efforts, there may times when circumstances (both within and outside of your control) leave you facing foreclosure on your home in Jackson. If and when this happens, do not fret; you certainly are not alone. Data shared by the Federal Deposit Insurance Corporation shows that one out of every 200 homes in the U.S. will go into foreclosure. As you weigh your options when facing foreclosure, you may legitimately want to ask yourself whether allowing a foreclosure to occur would be in your best interest.
Rapper asks permission to convert Chapter 13 to Chapter 11
People in Jackson likely are willing to do all that they can in order to avoid financial struggles. Yet no one may be immune from having issues with debt. Oftentimes, those issues can become so overwhelming that bankruptcy protection is the only viable path for one to be able to reasonably return to enjoying a healthy financial situation. The automatic stay that accompanies a bankruptcy filing stops any further collection efforts that one's creditors might be planning. In addition, it may also halt foreclosure proceedings that a bank or lender may have initiated on one's home.
The excessive cost of health care in the U.S.
If you are one of the lucky people in Mississippi who has health insurance, you know that even this protection does not guarantee that you will be able to afford the care you need if and when you should need it. The cost of health care in the United States is an all-too real concern for the average American and actually can become a source of serious debt and even lead people to the decision to file bankruptcy.
How often do medical bills lead to bankruptcy?
You plan relentlessly for your financial future. You want security. You carefully consider your budget and only take on debt you know you can afford. You use your credit cards responsibly, paying them off at the end of each month.
