For many people, the word “bankruptcy” has an ugly connotation. It is something to be avoided at all costs. However, filing bankruptcy is actually a way to recover from financial problems. After all, no one files for bankruptcy if they are able to pay their bills–so what is the purpose of doing it? Bankruptcy allows people to escape old debt and start over.
Many people have fallen on a variety of old bills, whether they are credit cards, old business loans, medical bills, or even creditor financial judgments. Year after year, they limp along, paying what they can–with their credit in a permanent state of wreckage. Essentially, they have already defaulted on their creditors–not because they don’t want to pay, but because they don’t have the money to pay.
One of the worst hit areas is Palm Bay, Florida. For many years, it was one of the fastest growing cities in Florida. A lot of Palm Bay, FL residents bought houses and worked in construction, real estate, and other supporting industries. Then the bottom fell out. A lot of hard working people could no longer pay their debts. I remember tracking phone calls of prospective bankruptcy filers and realizing that nine different households on the same Palm Bay, FL street had called for advice about overwhelming unpaid bills. That was all in a two month period.
If the entire street is unable to pay their bills, it means that people should look beyond the personal shame of needing to consider a bankruptcy, and think about what a bankruptcy really is: start fresh and wipe away old debts. With a bankruptcy, people can wipe away credit card debts, medical bills, bad mortgages, foreclosure debt–and start over. After a bankruptcy, people finally have the chance to rebuild their credit and build their savings. When people don’t file a bankruptcy, yet are unable to pay their bills, their credit NEVER recovers. When they are able to save, pay off their cars, and so on, their old creditors always loom in the background, ready to strike with a lawsuit, garnish wages, freeze bank accounts, and so forth.
Filing a bankruptcy allows people to focus on their future and not worry about financial threats from the past. Do you live in Palm Bay, Florida and have questions about foreclosure, bad debts, creditor lawsuits, or garnishment? Please call us at Morgan Law, P.A., a Palm Bay, FL bankruptcy and foreclosure defense firm. We can be reached at 321-253-6223.