A number of factors may contribute to the decision to do a bankruptcy. Doing a personal bankruptcy is an important step that should be carefully assessed by a debtor. Generally consumers have a number of different financial pressures that lead to the decision to declare bankruptcy including:
- Being unable to pay financial obligations on time.
- unemployed and having no immediate prospects for a job.
- An inability in the immediate future to be able to pay bills on time.
- Feeling forced to use one credit card to pay off the bills due on a different credit card.
- Facing a law suit or law suits from creditors.
- Receiving harassing calls and/or letters from collection agencies.
- A Financial institution is threatening foreclosure.
- Facing the loss of an automobile through repossession or a car has been repossessed.
- Believing that it is necessary to cash in funds from a 401(k), IRA or retirement program.
- Facing garnishment or having been garnished.
- Burdened with crushing medical bills.
The forgoing economic factors can so drag down a person that he or she feels the only potential for debt relief is through declaring bankruptcy. A debtor experiencing deep financial problems can contact a Twin Cities law firm to meet with a Minnesota bankruptcy attorney who can help a person explore bankruptcy alternatives. Filing bankruptcy can not only provide debt resolution but give a debtor a chance for a new start.
Tags: bankruptcy, debt relief, Factors contributing to bankruptcy, Minnesota bankruptcy attorney, Twin Cities law firm
