There are numerous stereotypes out in circulation about debt and bankruptcy. It is a common misconception that financial hardship only falls on those who are careless with their money.
This is far from the truth though. Many Americans are currently struggling with the cost of living. The following factors offer an insight into how being in debt doesn’t necessarily mean you are at fault.
Over the years, we’ve seen many tragic events across America, such as storms, earthquakes and hurricanes. It’s difficult to know these things are coming, and even if you are aware, how can you possibly prepare for such events? Thousands of people have been displaced by such disasters, with insurance that does not cover the damage to their homes. It can be hard to get back on your feet after such tragedies, and financial hardship is certainly a possibility.
At the end of the day, your health is one of if not the most important factor in your life. Medical care is not free and it isn’t cheap either. If you’ve been afflicted by a chronic illness, then you’re certainly not to blame. Medical debt has hit the finances of millions of Americans and led many down the path of pursuing bankruptcy.
The economy can be volatile at times, which means the labor market is impacted. Your wages may not match the current cost of leaving. Perhaps you’ve been asked to take a pay cut because the business you work for is struggling? Even worse than that, your employer may have had no choice but to let you go. If none of this is based on your job performance, then it wouldn’t be fair to say that you are blameworthy. Without a job that pays a fair wage, it’s almost inevitable that you’ll end up in debt.
If you’re struggling with finances, there are a host of options open to you. Bankruptcy is just one option that could help you to start afresh. As you consider your next moves, make sure you’re fully aware of your legal rights.