Michigan residents who are struggling financially are often told by their friends and family to avoid bankruptcy at all costs. Some believe that it is the worst thing one can do. While bankruptcy law is not perfect, it does help hundreds of thousands of people every year regain financial control. Three people recently shared their stories about how bankruptcy was actually the best thing they did for themselves.
The first individual filed because her creditors succeeded in having her wages garnished. Her divorce left her living on a tight budget. Every dollar earned was earmarked for specific expenses. When her creditors first garnished her wages, she knew that she could not survive with the reduction in income. Her bankruptcy petition, which was filed as a last resort, was approved, resulting in her achieving a discharge of debt and an end to the wage garnishment.
The second person filed because she had racked up over $20,000 in credit card debt, more than once. The first time, she used her inheritance from her mother to pay off her credit card bills. The second time, her father suggested she look into bankruptcy because her income did not allow for the repayment of this debt. Ultimately, her petition was approved, her debt discharged, and now she only uses her remaining credit card for emergencies. She says that bankruptcy gave her peace of mind and the tools needed to live debt-free.
Finally, the third person filed because he was getting a divorce. This individual and his wife had accrued about $140,000 in debt over the course of their marriage. Neither could afford to pay off their creditors, and neither wanted to be stuck paying the debt on their own. A joint bankruptcy filing allowed this former couple to walk away from their marriage without all of the debt and even allowed them to keep some of their assets.
Bankruptcy law protection can work to one’s benefit. It is certainly an option that should not be discounted when one is buried in debt. Michigan residents who would like to learn more about the benefits of bankruptcy can turn to an experienced attorney for more information on the subject.