Sometimes, consumers in Pennsylvania and elsewhere end up experiencing serious financial trouble. In these situations, seeking personal bankruptcy may be the best option. Although broke celebrities and failing companies often come to people’s minds when they hear the word bankruptcy, the reality is that bankruptcy filings occur most frequently among Americans in the middle class.
In many cases, the middle-class individuals who decided to file for bankruptcy had attended college, worked hard, purchased a home and even had children. However, their financial situations took a turn for the worst due to the loss of a job or even a medical problem. In fact, medical debt is apparently involved in the majority of U.S. bankruptcy filings. Other situations that may lead to bankruptcy include a divorce or the death of a primary or sole breadwinner.
Research shows that the median income of those filing for bankruptcy is $42,000. This is $6,000 under the United States’ median. In addition, those filing for bankruptcy are often military veterans, and they are also often disabled. Many of those filing for bankruptcy these days are in the age range of 55 to 64 years old.
Unfortunately, no matter how hard a consumer may try to stay ahead financially, sometimes, bankruptcy is inevitable. After all, life can be unpredictable, with medical debt or credit card debt having the potential to quickly get out of hand. Fortunately, personal bankruptcy protection can provide struggling consumers with the financial second chances they need. An attorney can offer the guidance needed to navigate the multi-step bankruptcy filing process in Pennsylvania.
Source: marketplace.org, “Personal bankruptcy is not a rich people problem“, Jana Kasperkevic, April 10, 2018