Bankruptcy is a personal issue that sneaks up on quite a few people. Even those who have their finger on the pulse of their finances might still be surprised by the realization that it's time to file. Then there are those who know they are headed in the wrong direction but can't seem to climb out of their debt issues. Here are some signs that you could be headed for bankruptcy.
If you carry a high balance on even just one credit card, this is a sign that bankruptcy might be in your future. It is recommended that you do not carry a credit balance of more than 10 percent of your annual income.
Having to use your credit card instead of cash, a check or a debit card to purchase everyday items is another common sign that you might need to file for bankruptcy. Credit cards are really only meant to give yourself a short-term loan that can be paid off relatively quickly. For example, buying new appliances or a TV with six months no interest payments.
People who literally cannot afford to lose their jobs should begin to prepare for bankruptcy. The thought of being unemployed likely terrifies you to the point where you don't take days off from work, even if you have them available, when you are sick or have a personal emergency to handle.
Those who only pay the minimum each month on their credit card will find themselves in severe financial trouble and quite possibly speaking with a bankruptcy attorney.
If you are experiencing any of the signs mentioned in this post, it's time to take action. You should consult with a bankruptcy attorney in Long Island to determine your options.
Source: Debt Consolidation, "5 Signs That You’re Heading Toward Bankruptcy," Dan Wesley, accessed Sep. 28, 2017