There are a lot of myths surrounding bankruptcy, and the most prevalent may be that it is caused by irresponsibility. Outside critics are very quick to stereotype those who file for bankruptcy as people who should have made better financial choices and not gotten themselves into this position.
But the reality is that bankruptcy usually happens because of things that these individuals can’t control, and they haven’t actually made any mistakes that put them in this position, to begin with. Things have just happened to them, and bankruptcy is the only solution that they can use.
For instance, did you know the number one reason for bankruptcy is just medical debt? People can’t afford to pay their medical bills, insurance doesn’t help or they don’t have it, and medical care is so incredibly expensive. They’re never going to dig themselves out of that hole again. They certainly didn’t choose to have these medical issues and they clearly wish that they could pay, but the system is stacked against them and there’s just no other option.
Should you utilize bankruptcy?
It’s important not to buy into these myths and stereotypes about bankruptcy. Remember that your financial situation is largely out of your own control, and bankruptcy is a useful financial tool that can get you out of that. The government has set this process up precisely for the situation that you’re facing, so it’s wise to look into all of the options that you have.
If you do decide that it’s time to file bankruptcy, then you need to figure out exactly what type to use and what steps to take. It can help to work with an experienced legal team at this time.