Facts About Bankruptcy That You Should Know
Facts and recent statistics about bankruptcy that can help you get a better view and understanding of it. Justin Myers attorney-at-law is here to help you.
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Facts About Bankruptcy That You Should Know

Posted by: Justin M. Myers | On Aug 17, 2018
Facts About Bankruptcy That You Should Know

You have finally come to that difficult point in your life. You’ve used all your resources up. You have taken out all the loans you could take. You have decided that you will file for bankruptcy. Many people don’t know that filing for bankruptcy can be one of the smartest financial decisions you make. When you file for bankruptcy, you may not know how the entire process works unless you’re good friends with a bankruptcy lawyer. A bankruptcy lawyer can help you determine which option is best for you and best for your specific situation. The two main forms of bankruptcy are Chapter 7 and Chapter 13. Chapter 7 is the most common form. It is known for being the fastest and simplest to complete. However, filing under Chapter 13 bankruptcy can help you keep some of your major assets during the process. There are many facts and recent statistics about bankruptcy that can help you get a better view and understanding of it.

Nowadays, most people who are filing for bankruptcy are individuals rather than businesses. In 1980, 13% of bankruptcy petitions came from businesses. Today it has fallen to 3%. It’s important to know the average filer for bankruptcy today. They are typically married, of the older population (older than 45), they have their high school diploma, and are making $30,000 a year. Medical debt is one of the main reasons that people petition for bankruptcy. It accounts for nearly half of all bankruptcy petitions. However, this debt is typically under $5,000. Even though this debt may not seem extreme, the medical bill collections usually don’t set reasonable payment plans. This often leaves people with no other choice than to file for bankruptcy. It is often the only way for them to get rid of debt collectors.

The stigma towards filing for bankruptcy has definitely decreased over the years. Filing for bankruptcy can actually help restore or increase your financial stability in the long run. People who filed for bankruptcy are better off 5-10 years down the line than those who did not file for bankruptcy. Also, more people got full-time employment after filing for bankruptcy than those who did not file for bankruptcy. 91% of people hire Chapter 7 bankruptcy attorney to assist with Chapter 7 bankruptcy. So you would not be alone in this. From 2005-2017 there were approximately 12.8 million consumer bankruptcy petitions. About 68% filed under Chapter 7 while 32% filed under Chapter 13.

This whole experience can be extremely overwhelming. As mentioned before, many others have gone through it. You need someone on your side who has experience and can guide you to the right solution. You’ve struggled enough. Now it’s time to have someone help you lift the weight off of your shoulders. Justin Myers attorney-at-law is here to help you choose the best option for your circumstances. He has years of experience and will get you on the right track. You can reach him by phone at 801-505-9679 or fill out this contact form.