- Bank Loan
- Bankruptcy
- Budget
- Children's Future
- Consumer Proposal
- Credit Cards
- Credit Counselor
- Credit Report
- Credit Score
- Debt
- Debt Collectors
- Debt Consolidation
- Early Retirement
- Financial Freedom
- Financial Literacy
- Financial Problems
- Financing For Renovation
- Gambling Debt
- Holiday Debt
- Income Tax Debt
- Investment
- Money
- Money Management
- Money Saving Tips
- online fraud
- Online Scams
- Owing A Car
- Pawnshop loans
- Payday Loans
- Refinance
- Running Out Of Money
- Save Big Money
- Saving Tips
- Secure Retirement
- student loan
- Tax
- Uncategorized
- Wage Garnishment
- February 2021
- January 2021
- December 2020
- November 2020
- October 2020
- September 2020
- August 2020
- July 2020
- June 2020
- May 2020
- April 2020
- March 2020
- February 2020
- January 2020
- December 2019
- November 2019
- October 2019
- September 2019
- August 2019
- July 2019
- May 2019
- April 2019
- March 2019
- February 2019
- January 2019
- December 2018
- October 2018
- September 2018
- August 2018
- July 2018
- June 2018
- May 2018
- April 2018
- February 2018
- January 2018
- December 2017
- November 2017
- October 2017
- September 2017
- August 2017
- July 2017
- June 2017
- May 2017
- April 2017
- March 2017
- February 2017
- January 2017
- December 2016
- November 2016
- October 2016
- September 2016
- August 2016
- July 2016
- June 2016
- May 2016
- April 2016
- March 2016
- February 2016
- January 2016
- November 2015
- October 2015
- September 2015
- August 2015
- April 2015
- March 2015
- February 2015
- January 2015
- December 2014
- November 2014
- October 2014
- September 2014
- August 2014
- July 2014
- June 2014
- May 2014
- April 2014
- March 2014
- February 2014
- January 2014
- December 2013
- November 2013
- October 2013
- September 2013
Is It Time To Declare Bankruptcy?
Bankruptcy can feel like a heavy decision to consider. The paperwork, the change to your lifestyle, the potential feelings of failure – many people expect it to be an unpleasant experience, which makes them push off the decision for far too long. However, most people do not fully understand what bankruptcy entails, how to go about assessing whether or not they are candidates for bankruptcy, or, most importantly, how beneficial it can be to your life and finances in the long run. The media has convinced most people that bankruptcy is a negative thing, when in reality it’s simply an option to better your future. Also it is important to remember that a Licensed Insolvency Trustee is there to review your situation and discuss all available options before you make a decision.
Below are some of the signs that you might need to begin educating yourself on to understand what bankruptcy entails.
Minimum payments on your credit card. If you are only capable of making the minimum balance payment on your credit card, you are unable to effectively service that debt. Making minimum payments means you are still being hurt by interest in the long run.
Bill collectors are bothering you. If you are constantly being called by bill collectors looking for money that you owe, this is not a good position to be in. Being called by bill collectors can severely damage your credit rating and take an emotional toll.
Using credit to pay for necessities. If you cannot afford to pay for necessities (food, utilities, etc.) with cash that you already have, this is a serious sign that something is very wrong financially. Putting the necessities on credit means that, in the absence of that credit, you would not be financially stable enough to look after yourself.
You’re considering debt consolidation. If your debt continues to pile up and servicing it individually ceases to be an option, you may be considering debt consolidation. This is typically the first sign that your financial situation is beginning to fall apart. It’s worth noting that debt consolidation can be a great option for some people, but it’s not the best solution for everyone.
You’re unsure about how much you actually owe. This is perhaps the worst situation to be in financially. Not knowing who, or what, you owe is not only scary, it is usually an indication that people have given up on their financial well-being because they simply see no end to their debts. However, understanding that bankruptcy is a helpful option in this scenario could end up saving you a lot of time, money and emotional anguish.
Bankruptcy, while a daunting prospect, does not mean you have given up. It does not have to be something that is imposed on you, rather, a responsible, financial decision that you make given the circumstances. Many people, even with minimal will and determination, declare and bounce back from bankruptcy, understanding that to regain their financial health, they have to start fresh. If you are unsure about when to declare bankruptcy, keep in mind the above indicators. While they are not guarantees that bankruptcy is the right solution, they can help you better understand your financial position and some of the options available to you.