Why is Bankruptcy a Dirty Word?

Why is Bankruptcy a Dirty Word?

A local news channel, KCTV 5, was interviewing a woman who had filed bankruptcy in a piece titled Bankruptcy a Blessing? The woman stated, “Bankruptcy is a dirty word. But, it saved our lives, it really did.” I was amazed that this woman was so relieved, yet refused to have her face shown during the interview. Convicted criminals will show their faces on television and yet honest Americans are ashamed of filing for bankruptcy. Why is filing for bankruptcy and starting over a faux pas?

The United States has enacted bankruptcy legislation consistently since 1898. Bankruptcy legislation was passed earlier in United States history; however, the legislation was repealed later. Bankruptcy is not a new concept in the U.S. or other foreign countries.

Financial difficulty does not equal failure. The current economy is an example of the reason honest debtors need bankruptcy protection and why the U.S. government has given such protection to debtors. Rising job loss leads to rising uninsured Americans, leading to staggering medical debt. People run out of choices and turn to credit cards and pay day loans with high interest rates. Hardworking families are forced into mounting debt with no light at the end of the tunnel.

These families who are unexpectedly faced with job loss, medical problems, etc need to know there is hope. Bankruptcy allows families to remove most if not all their debt and begin to live again. Families can begin to feel stress levels decrease and begin looking to their futures. With over 1.5 million combined chapter 7 & chapter 13 filings in the last 12 months, debt relief is necessary for struggling Americans. How can a remedy that restores hope and financial freedom be a dirty word?

Taking the step to enable your family to live debt free, stress free, and regain hope is not a shameful act. Bankruptcy signifies a fresh start and that is not a dirty word.

Contact the bankruptcy attorneys at Walden & Pfannenstiel, LLC to arrange your free bankruptcy consultation.

2017-07-17T20:57:13+00:00 By |Bankruptcy Law Blog|