By: Darrell Castle
Believe it or not, bankruptcy is good for more than just the person in debt.
People often have a negative view of bankruptcy and its purpose. It is NOT designed to cheat the system or relieve people who just want to constantly abuse it. It IS designed to relieve the debtor and society as a whole from the burdens of uncontrollable debt.
Take Sarah’s story for example.
Sarah’s a middle-class mother with two kids. She has a car note, mortgage, some credit card balances and student loans.
The problem is, Sarah did what many Americans tend to do – she got a little too swipe-happy with her debit and credit cards. And she found herself in a financial bind as a result.
After a few months of trying to make ends meet, missing car payments and falling behind on her credit card bills, she’s in a deep rut.
Now the bank is threatening to repossess her car and the credit card company is hounding her all day and night to pay her bills. She’s trying! She doesn’t know what to do.
How a bankruptcy helps the person in debt
Should Sarah let the bank take her car?
No! How is Sarah supposed to get to and from work? She lives too far from her office to walk. The bus system isn’t reliable. And if she can’t get to work then she can’t make the money she needs to pay her bills and get out of debt. She needs her car.
And what about her children? How’s she going to get them to and from school without her car?
Instead of letting the repo man take the car, she can file for Chapter 13 bankruptcy. By doing so, she’ll be able to lump her debt – including her car note – into an AFFORDABLE 3-5 year repayment plan. By doing so, she’ll STOP the car repossession, STOP the creditor harassment and STOP the debt from taking over her life.
Then once the bankruptcy is complete, she’ll be current on her car note, free of the debt bogging her down, and even better – she’ll have a fresh start financially. This is a fresh start she can use to become a better spender and rebuild her credit.
How a bankruptcy helps society
Now that Sarah is free of that debt, she’s free to become a more-contributing member to society again.
She can freely go out and buy groceries, clothes and other necessities that she was struggling to buy before. She’ll be able to pay sales tax and help provide for the economy.
This time – of course – she’ll spend more responsibly to avoid this debt pitfall again.
Our Memphis bankruptcy attorneys can help
If you’re struggling financially and want to talk to someone experienced about your options, then our FREE consultation is perfect for you.
This is time reserved JUST FOR YOU. You’ll sit down with the bankruptcy attorney, go over your finances and your situation. And then you’ll discuss your best options moving forward.
Maybe your best option is bankruptcy. Maybe it’s not. But wouldn’t you like to know? It’s free advice! We’ve built a solid reputation as a bankruptcy law firm Memphis, TN clients recommend.
For decades, Darrell Castle & Associates has helped people in the Mid-South get out of debt. We’re detailed, responsive and we truly care. You’re not just a case number here, but you’re a real person with a real problem. We can help you with that problem.
That’s why our clients like us. That’s why we’ve received multiple Client Distinction Awards from Martindale-Hubbell for client satisfaction. You’re in good hands here.
Want a FREE bankruptcy consultation?
Call (901) 327-2100 today to schedule your appointment. Or you can fill out the form to the right of this page to have someone from our office contact YOU.
Life After Bankruptcy
For a more in depth look of what your life will be like after bankruptcy, download by FREE report, “Life After Bankruptcy” from my website TODAY.