The residents of Ohio are always trying to adjust to an ever changing economy. Sometimes, an inability to safely chart a course through stormy economic seas can lead some Ohio residents to consider bankruptcy. Here are some of the reasons why filing for bankruptcy may become an option.
Too High Mortgage – Buying a house you can’t afford will be a constant drain on your finances that may eventually push you off the fiscal edge. Adjustable interest rates and home equity loans are major culprits.
Car Payments – Sometimes, it’s better to hold on to your old clunker for as long as it’s running well than to go for something new with payments that strain your budget.
Higher Wages – Wait a minute, shouldn’t higher wages reduce the risk of financial trouble? Only if you don’t use it as an excuse to ramp up your spending beyond your means. Some people lose all fiscal discipline once they have more to spend.
Consumerism – Advertising constantly urges us to buy, buy and buy. Don’t fall for it or you just might find out too late that you’ve shopped your way into bankruptcy court.
Credit Cards – Plastic is convenient, but it is also expensive. The interest rates are murder, and before you know it, you’ve fallen into a lender’s well that can only be escaped through bankruptcy.
Ignorance – Some people are financially illiterate, making it almost impossible for them to manage their money or live on a budget.
Bills – It can be tempting to put off for tomorrow what you should be paying off today. Eventually, the overdue bills pile up and it all becomes overwhelming.
Unemployment – It’s pretty hard to stay above water financially when your income falls to zero. Once the bank account runs out, bankruptcy becomes an option.
Medical Expenses – Getting sick can be a double fiscal whammy because you often can’t work, yet the medical bills keep piling up. Sometimes the only way to restore your financial health is through bankruptcy.
Bad Loans – Co-signing a loan for a friend or family member is a nice thing to do. However, it can also be financially devastating if the unpaid loan later lands on your lap.
The best way to determine if your situation warrants a filing of bankruptcy is to contact an attorney. Only then can you know what all your options are.