Signs of Bankruptcy
What Leads to Bankruptcy? Learn More from a Boca Raton Bankruptcy Lawyer
Hundreds of thousands of people file for bankruptcy each year in the United States, as it can actually be a positive way to get yourself debt-free and start fresh. However, the prospect of having to file for bankruptcy can be scary. At Alan J. Fisher, PA, we want you to understand the signs that you may be headed in that direction so that we can help you take proactive action.
If you are questioning your current financial status and are wondering if you are headed towards an imminent bankruptcy, it is important that you understand the warning signs. Once you start to recognize that your circumstances may be leading you toward a bankruptcy, it is important to contact an attorney right away. An attorney can help you assess your financial situation and help you determine your options.
Are you heading for bankruptcy?
One of the most tell-tale signs of a bankruptcy is not having health insurance or proper coverage to cover all your medical expenses. One of the most common reasons people file is because they are unable to pay back medical bills. Another sign is maxing out credit cards. Most people will max out their cards in order to repay debts, but then become even deeper in debt because of their credit card bills. This will often lead people to dipping into their emergency funds or savings accounts to help pay off debts, which leaves nothing behind in the event of an actual emergency.
More tangible red flags can be co-signing a loan for another person, having a foreclosure on your home or having a car repossessed because of failed payments. Perhaps you borrowed too much from student loans and you are now unable to pay it back (and remember, student loans do not cease if you file for bankruptcy) or you are only paying the minimum balance on your credit cards; this could be a very obvious and real sign of bankruptcy.
If you find yourself heading down this scary financial path, it is important that you call Alan J. Fisher, PA today for a free case evaluation and to discuss your financial situation.