Blanca
“Dear Steve,
Can you give me more or less guidence on what I need to do. I take home about $1,900.00 single parent and Im in debt about $11,000.00 I make more then the min payments but I’m always broke currently I just fill overwhelmed with not being able to have money. Do you think bankruptcy is one of my options or what I need to do. I am current on all of my bills. Thank you so much for your assistance.
Blanca”
The Answer:
Dear Blanca,
The first two things I would look at would be to cut back to just the minimum payments and save the difference between those and what you have been paying. Building up your savings will take the edge off the stress and pressure you are feeling now.
Secondly, if you typically get a big tax refund check each year that tells me you having too much money withheld from your paycheck each month, when you need it most. Adjust your withholdings so you break even at the end of the year.
As far as bankruptcy goes, it might just be a real and valid solution for you. I would suggest that you find a local bankruptcy attorney that you like and go in and talk to them. Lay out the entire situation and let’s see what they say. Going in to talk it over does not mean you are going to file bankruptcy. It means you are seeking advice and information so you can make a good decision for you.
By the way, people that are current on their bills go bankrupt all the time. Being current right now does not mean that you can sustain that level of repayment for the future.
Please update me on your progress by posting updates here in the comments section of your question. I’m very interested in how this works out for you.
P.S. Be sure to read ‘The Secret of Surviving Through Difficult Economic Times. What I Learned On My Journey‘.