The COVID-19 pandemic has provided you with an unexpected opportunity. While abiding by social-distancing guidelines, you are still able to maintain your excessive spending habit by doing so online. And at all hours of the day. Point, click, submit credit card information and buy.
Package after package arrive at your home. These are things you want, but not necessarily need. While you are trying to stay safe during this global pandemic, you seem to have expanded your overspending habit. Buying things serve as a stress reliever during these uncertain times. However, it has turned into an obsession, and now you understand that you need credit counseling and guidance. Is bankruptcy an option? What can you do to improve your situation?
Admit your problem and consider bankruptcy
Filing for Chapter 7 or Chapter 13 bankruptcy is a solution. It is a path that may eventually lead you to financial peace of mind by wiping the slate clean and starting over.
Of course, Mississippi residents are not immune from bankruptcy. According to the American Bankruptcy Institute, the state in 2019 ranked third in the country in number of bankruptcy filings per 1,000 residents. With a number of 4.16 per 1,000 residents, Mississippi ranked only behind Alabama with 5.4 and Tennessee with 4.88.
And two of the three Mississippi counties with the most bankruptcy filings in 2019 were in the south-central part of the state where Jackson is located. Hinds ranked first with 1,547 bankruptcies and Rankin ranked third with 757 total bankruptcies.
But remember that you are not the only person who has sought this path toward financial recovery. Please shake off any doubts about what you have chosen to do. There is no stigma in filing for bankruptcy because you want to improve your life.
Admitting you have an overspending problem and living beyond your means is a good initial step. Once you emerge from bankruptcy, it is time to get introspective. Look at the financial behavior that led to bankruptcy, then change those habits.
Unplugging that personal computer and cutting up your credit cards represent a start. As a result, the temptation for online purchases may gradually subside.