3 Tips To Potentially Help You Avoid Bankruptcy
Retail therapy. Everyone has heard about it, and almost everyone has indulged in it at least once in their lives when life got a little messy. However, this can get extremely expensive, especially when you continue to do over and over, and can lead to the need to file bankruptcy. If you are able to catch yourself before you get too deep into financial trouble, there are a few things that you can do to stay afloat and get yourself back on track financially. Here's what you need to do to try to avoid bankruptcy:
1. Start Using Cash.
Credit cards are so easy – all it takes is a simple swipe here and a simple swipe there and you're done. However, that monthly balance continues to rise, as does that monthly minimum that you have to pay, and that you simply can't afford. So, grab a pair of scissors and cut your cards. This way you won't be tempted to use them again.
2. Unable to Make a Payment? Let Them Know!
There may be times when you aren't going to be able to make one of your payments, and that's okay. However, you need to make sure to confront the situation head-on rather than dodging the creditor's phone calls. In many cases, the creditors are actually very receptive to working with you when you do this. They may even consider eliminating fees if you are polite and clarify your situation to them.
3. Eliminate Your Luxuries.
In order to pay down your credit card debt so that you can get back on track financially, you need to have more money coming in monthly. One way to do this is to get rid of some of your luxuries, such as monthly tanning, spa excursions, morning coffees, etc. Anything that you do or have on a regular basis that you don't need is considered a luxury and can be eliminated, then that money can be put toward paying off your debt. While it won't be easy at first, it will be well worth it in the long run when you see that you can save a significant amount and put a dent in your debt.
If you find that you are simply too far in debt to get out of it, schedule an appointment with a consumer bankruptcy attorney to discuss your options. While bankruptcy isn't always your last resort, it is best to talk to an attorney who can lay out all of your options on the table for you. For more information, contact a business such as Stuart R Whitehair Attorney.
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