There are a number of myths out there relating to people who seek the protection of bankruptcy and/or defense from a debt lawsuit. Rarely are they just flat irresponsible. A "deadbeat" is not going to set an appointment, provide the necessary paperwork, fill out the roughly 46 page packet, or pay the requisite fees that a bankruptcy requires.
Whether it be a credit card lawsuit or a bankruptcy, there are generally 4 main factors that bring people to see me:
1. Divorce
2. Business Failure
3. Health issues
4. Job loss or reduction in salary
Divorce can be especially devastating, especially when you have signed a mortgage and car notes on the assumption that you will continue to have two incomes. Now each spouse is having to pay for their own utilities, phones, cable TV, and so forth when previously a lot of these expenses were shared. Throw in legal fees, child support, or possibly child care and now your cost of living is significantly higher.
Often when people come for a consultation more than one of these is going on. Generally when someone is having a health issue, even if they have good insurance, they are not able to put in the long hours or produce as well as they could when they were in good health.
In some cases entire industries will go south periodically. When I first started my practice in 2008 I had a number of clients who were working in various areas of the real estate field. One minute they were making great money and the next minute the bottom fell out. Now I am working with a decent number of professionals from the energy industry. The Barnett Shale and domestic activity were hot a few years ago but have really dwindled for a number of reasons that are in no way a negative reflection of the people who work in the field.
I am here to help you, not judge you. Rest assured that while your situation, just like your life, is unique, you are not alone.
I am a debt relief agency. I help people file for bankruptcy.