When hearing the word bankruptcy, many Florida residents cringe. The language used to describe bankruptcy is often negative and untrue. Many use bankruptcy to aid in debt relief and are able to take back control of their financial situation, therefore making it a very positive action. For most of these people, filing bankruptcy proves to be a saving grace.
When one woman’s mother died she found herself receiving an inheritance. At the time she received the inheritance, she had a solid financial standing. She had a stable job, manageable debt and an excellent credit rating. After her mother died, though, she remodeled her mother’s home for sale. Since the house had been refinanced when her mother was ailing, this became a financial burden.
Taking out a dozen credit cards to finance the remodeling of the home put her in greater debt. Once the house was remodeled and ready for sale, the market was no longer booming and buyers were scarce. Renting the home also became a burden, as renters stopped paying. It was at this point she found herself in bankruptcy court.
The majority of people in Florida who file bankruptcy are not people who spend irresponsibly. Many who file bankruptcy can point out some life event, such as an illness, family member’s death or divorce that leads them to make this difficult decision. Filing bankruptcy can often make debt repayment manageable, allowing people to take control of their finances, not create financial death. Understanding options when debt becomes unmanageable is a good first step to taking control of one’s financial future.
Source: triblive.com, “Coming back from bankruptcy,” July 7, 2013
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