Many of the prospective bankruptcy clients I meet with feel shame above all else when they first enter my office. I tell them there’s no reason to be embarrassed—that bankruptcy is not synonymous with failure.
It’s true under any circumstances, but it’s particularly relevant in our current economic climate. The symptoms of this pandemic go far beyond the physical. There isn’t a corner of life in America untouched by COVID-19. If you are struggling financially, recent unemployment figures are tangible proof that you are far from alone.
And it isn’t just your fellow consumers—it’s hundreds of companies, many of which you probably already know. S&P Global Market Intelligence recently found that corporate bankruptcies in the U.S. are on track to reach a 10-year high; 424 companies have filed as of August 9. More than 100 consumer companies have filed, including Lord & Taylor, Brooks Brothers, and Tailored Brands Inc., the parent company of Men’s Wearhouse. The energy and industrials sector is also well represented, with nearly 100 bankruptcies.
There’s a reason these companies have turned to bankruptcy: for protection, and a new beginning. While it may not always make sense to borrow cues from your favorite retailers, it will pay, quite literally, to follow their lead just this once.
After all, you, too, deserve a fresh start. And there’s no time like the present moment to make the change.
There are different types of bankruptcies for different situations.
Although debt is widespread, everyone’s situations are different. There are two main types of consumer bankruptcy. The best option for you depends on your own circumstances and goals.
A Chapter 7 bankruptcy allows you to quickly get rid of unsecured debts—including credit card debt, medical bills, and tax debt—without paying them back. You won’t have to make any payments towards the debt, so if you’re unemployed this might make most sense for you.
In contrast, a Chapter 13 consolidates your debt into affordable payments spread out over three to five years. It has the power to stop repossession and foreclosure in their tracks. If you’re behind on a mortgage, this might be your best option. In fact, depending on how much you owe, a Chapter 13 can help you pay back your mortgage for as little as $8-12 per week.
Find lasting relief during difficult times.
In a world where so much is beyond our control, bankruptcy allows you to take ownership of your personal situation, so that you can move forward in life.
Whether you’re ready to file or just starting to explore your options, we can help. Call (901) 327-2100 or contact us here to schedule a free consultation today.