Tag Archives: declaring bankruptcy

The Reasons Why People Go Broke Or Bankrupt

9 Feb

With the looming economy, the word bankruptcy seems to be popping up every now and then.

You must have surely heard it at one point or another recently, when someone is discussing things like how to save money or maybe be prepared for a financial downfall.

However, it is not really that simple to go into bankruptcy. If you probably understand the top reasons that people go bankrupt, you too can avoid doing them and probably learn to do the right things in life.

Poor Health Can Be A Major Cause Of Bankruptcy

The Reasons Why People Go Broke Or BankruptThe top reason that people go bankrupt in the United States is because of poor health or falling ill unexpectedly.

When you are in the helm of your career busy amassing fortunes, you would probably be better off if you can take care of yourself.

On the contrary, if you end up falling ill, then you might lose out on a lot of money due to the sickness.

This is probably when it is wise to have backup plans to ensure that your money works for you, and not against you in this situation.

As long as you have control over the situation, then you have nothing to worry about.

But, it is unfortunate that over half of the people in America fall prey to unexpected calamities and disasters, which usually come in more than once consecutively. Don’t let your fortune have single point of support, and instead try to build it with multiple support sources. Continue reading

What Happens When Declaring Bankruptcy

6 Feb

When you have tried everything out and are still not able to resolve your debt and do not have a positive cash inflow, then it may be the right time for you to declare bankruptcy.

There are however certain conditions that you need to consider before you can go “Gung Ho” and declare bankruptcy. Once you have considered everything, only then you are eligible for declaring bankruptcy.

Declaring Bankruptcy Will Not Eliminate All Debts

Declaring BankruptcyFirstly, bankruptcy is not about telling that you have no money to pay for your bills and the government will take care of you. It is much more than that. You need to understand that there are certain bills that you are required to pay and the government will not handle all of them.

These include your children’s care and other loans like student loans etc. Continue reading