Financial problems can affect anyone at any time. When the burden of mounting bills and expenses becomes too much to handle, some people have no choice but to file bankruptcy. There are some key factors to consider when determining the depth of financial problems.
“We often see many of the same financial problems in our bankruptcy cases,” Managing Attorney, Jeffrey Freedman, stated. “Clients often come to us having experienced the same issues. If financial problems are affecting your life, it may be advisable to look at some key factors that cause problems.”
Using credit to pay for a car repair
Consumers who are forced to pay for a car repair using credit cards may not have enough cash reserves. If a major repair comes along, and a credit card is used, it may mean using credit has become a necessity. Consumers may not be able to handle other expenses without going further into debt.
Having a bill collector call or write
If a bill collector has called or written about an outstanding debt in the past 60 days, this can indicate problems. Bill collectors are relentless. They may use intimidation or threats to try and collect. When that doesn’t work, they may resort to legal action.
Being turned down for credit in the past 12 months
Consumers in deep debt are often turned down for credit. This may be a warning sign of financial trouble. Even if a consumer is paying bills on time, banks are aware when someone is overextended on their credit.
Fighting with a significant other over money
Financial troubles are a key factor in many divorces. Worry and fights about money cause tension in a marriage. Deciding to file bankruptcy may alleviate financial pressure and save a relationship.
Reduction of available credit by a credit card company
Banks may be trying to send a message. Having available credit reduced by a credit card company is a sign that a consumer owes too much money.
Our legal team has helped clients solve their financial problems for over 30 years. We want to help with the anxiety and frustration that comes with being in debt. Jeffrey Freedman Attorneys can help end harassment by bill collectors and start consumers on a path to debt-free living.
Consumers who want more information can explore Jeffrey Freedman’s book, Personal Bankruptcy – A Guide to Controlling Runaway Debt. This book breaks down the complicated bankruptcy laws in a plain and simple manner. The book is available at www.jeffreyfreedman.com.
Jeffrey Freedman has been a Western New York bankruptcy attorney for over 30 years. His book, revised in 2011, helps consumers avoid common mistakes and covers Chapter 7 and Chapter 13 bankruptcy.