Debts No Longer Personal

A loan use to call for a handshake and a mutual amount of trust and respect. For many, the handshake sufficed as a guarantee the creditor would be paid back in full, but today, loans are no longer such an intimate and personal venture.

Credit has become impersonal and can be characterized by profiteering, contract legalities, and an elaborate system of credit ratings. At one time you may have assumed the agency or person who made you the loan would be the one whom you eventually paid off. Not today. With the invention of investment banks, mortgage loan contracts are sold like commodities, and credit card loans are sold to junk debt collectors when collections are in question. 

Just how and when these creditors obtained the right to sell a contract I am not sure, but it is happening too often. I am sure there are legal loop holes built within the modern contract to give creditors the ability to bail out of their responsibilities and pass them on to someone else. The fine print has become too fine for the average layman to read. 

Filing for bankruptcy is not a sign of weakness, laziness, immorality, or dishonesty. Becoming bankrupt can happen for a variety of reasons including: divorce, catastrophic event, foreclosure on personal or business property, failure to pay bills on time, loss of income, health problems, poor business decisions, bad timing, bad advice, or a poor economy. Filing for bankruptcy is a legal way to protect both creditor and debtor and to allow the honest person or business to work their way out of a bad financial situation. 

Maybe the changes to the creditor/debtor relationship is good. Through the years, both debtors and creditors have had their influence on bankruptcy laws. Laws have been passed to outline how we should treat each other in financial dealings. Bankruptcy laws have increased and become very complex and complicated. 

If you are considering filing for bankruptcy protection you may need the legal assistance of a bankruptcy lawyer. If you need relief from the stress of debt and you live in or around the metropolitan areas of Grand Rapids, Muskegon, or Holland, Michigan, contact us at .We will help you find a bankruptcy attorney in your area who will answer your bankruptcy questions.

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