While bankruptcy is not necessarily anything a Florida resident hopes for, there are definitely many positives to filing for bankruptcy. This is something a filer should keep in mind when going through the bankruptcy process.
Joseph Goetz, who is the president of the Financial Therapy Association, said the emotional impact of filing for bankruptcy can be quite overwhelming, leading to added stress on relationships.
To counteract these emotions, it is important for the Florida residents who are filing for personal bankruptcy to realize they are not alone. Many others are in the same boat, or have already filed, due to financial constraints both within and outside of their control.
Outside of worrying what others will think, many struggling with debt and thinking of filing worry about what bankruptcy will mean for their financial future. Often people incorrectly assume that filing for bankruptcy will be a black mark on their credit history forever. However, the truth is that not only is it typically erased after 10 years, but that filing for bankruptcy can end up leading to a person being more financially responsible in the future.
The act of filing for bankruptcy should be viewed as not just a debt solution, but a piece of the end financial goal. After filing for bankruptcy, this can be a time to start budgeting and using new financial strategies to continue to have financial freedom.
Lastly, when filing for bankruptcy, keep in mind that personal worth and net worth are two separate things. There should not be any feelings of shame or grief for filing for personal bankruptcy.
Source: U.S. News and World Report, "Surviving the Emotional Toll of Bankruptcy," Daniel Bortz, Jan. 18, 2013
- Our firm understands the financial struggles leading up to filing for bankruptcy. To learn more, visit our Orlando consumer bankruptcy page.