andyetf

Posts Tagged ‘loss of income’

Why Bankruptcy?

In Uncategorized on December 14, 2010 at 2:28 pm

Its my experience that loss of income leads more people to file bankruptcy than any other reason. Folks think that they are in good economic shape if they can handle their monthly payments. That plan works most of the time. But if they experience a loss in income, it can make it impossible to keep the bills current.

The income loss can coome from loss of employment, cut backs to overtime, divorce, or downsizing, for example. The results are the same regardless of the cause. Many creditors can be unwilling to negotiate reduced payments to help those who are struggling with payments. So people are forced into bankruptcy due to unexpected circumstances.