Filing bankruptcy is almost always bad news. Make no mistake about it. Some people think that it is a fresh start. It is not. It does not automatically release you from everything that you owe and it can have a devastating effect on your credit rating. That being said, as bankruptcy attorneys in Michigan can tell you, it is not the end of the world.
Last year when it came to bankruptcy michigan saw 56,000 case. That is a rate of approximately 5.64 per 1000 population. This is a fairly high rate. Most of these people who file for bankruptcy will find their way back eventually. But we should not forget or take lightly the difficulties that many of them are presently going through or the anxieties too many of them are currently experiencing.
Bankruptcy has fallen over the past few years, but this is not so much because the economy has improved as it is because many people have come to believe that filing for bankruptcy is not the right answer. For many people, filing bankruptcy is the last thing that they should file for, even though this might not be obvious to all of them.
Just under half of American families spend more than they make in any given year and when it comes to bankruptcy, it happens to all kinds of people. In fact, more than a quarter of all people who file for bankruptcy have a bachelor’s degree or more. Even people like Donald Trump have filed for bankruptcy before. So has Elton John, even though he has gone one to become one of the wealthiest entertainers of his generation. Bankruptcy happens to the wealthy as well as the poor.
It is for this reason that the first priority of everyone should be living within his or her means. That is what will make a long term difference for people who want to stay out of bankruptcy. But for those who are facing bankruptcy, sometimes seeking legal advice is the best ways to go.