Debtor Has Sound Advice for the Bankrupt

This personal bankruptcy story was posted on the internet in May of 2011, 

“Bankruptcy has a negative stigma, but it is necessary for some people. I lost my job with a major pharmaceutical company in the spring of 2009. My husband and I made $90,000 per year. After losing my job and taking whatever job I could get, we were making just around $47,000. Our mortgage payment alone cost 75% of our income. We had a $520 per month truck payment, no consumer credit debt, and we had all of our housing, food, and student loan payments to pay. 

We knew we could not afford our home. We could not sell our home for what we paid, and we spent all of our emergency and savings within the first 6 months. We accumulated about $8,000 in credit card debt due to emergencies. We stayed in your home until February of this year (2011) and after two years of trying to stay afloat, we decided in 2010 to file bankruptcy and foreclose on our home. 

We now live in a 1200 sq. foot apartment for $750 per month, we pay only $250 per month for our vehicle, our utilities have greatly decreased, and we are able to save money. Once our debt is discharged we will begin rebuilding our credit, which we are already doing by reaffirming our vehicle payment and paying my student loans. 

Do not let anyone tell you that bankruptcy is never the answer; it is simply not true. It needs to be used properly and you need to understand its impact. People automatically feel you will completely destroy your credit score (very true) BUT and a big BUT, if you are paying your mortgage, vehicle, and credit cards late your credit is already destroyed! If you feel bankruptcy might help you, seek the advice of a lawyer and understand the facts.” 

This debtor has given some very sound advice to those of you who are bankrupt. Even though filing for bankruptcy carries a stigma, bankruptcy is not the end of the world. Filing for bankruptcy is a legal proceeding designed to protect both creditor and debtor and to is designed to allow debtor to work their way out of of a poor financial situation. 

Bankruptcy is certainly a legitimate and necessary move for many who find themselves bankrupt. You have the right to file for bankruptcy protection. Bankruptcy is a tool used by our society to alleviate a debt between two parties. 

Like the debtor suggested, if you feel you are bankrupt, contact a bankruptcy lawyer. If you need of relief from stress and debt and you live in or around the metropolitan areas of New Haven or Meriden, Connecticut, contact us at . We will help you find a bankruptcy attorney in your area who will answer your bankruptcy questions.

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