Who is filing Bankruptcy?

07/31/2013
No one really wants to file bankruptcy. Everyday I meet with people in one of our three offices to discuss financial solutions which include bankruptcy. Here is a sample of some of the people I have met during the past week in our Panama City office.

A divorced female in her 40s. She lives in Panama City and works for one of the county school districts. She has a house with a mortgage and is also still obligated on her former marital home with her ex-husband. The ex-husband is supposed to pay both of the mortgages but is always behind and it is dragging down her credit. In addition, she has a car payment and approximately $40,000 in credit card debt. Her income is approximately $31,000 per year. She is going to file Chapter 7 bankruptcy and shall be relieved of both of the mortgages on the former marital home and also the credit cards. She will be able to keep her home and also her car, both subject to the debts.

A married couple from Chipley with a 23 year old student they are still supporting. Wife has been unemployed for over a year and her unemployment benefits are about to stop. The have a home with a mortgage, a car payment, and a number credit cards and medical bills totaling approximately $26,000. The have been sued by Midland Funding which bought one of the credit cards. Husband makes approximately $45,000 per year. They are going to file Chapter 7 bankruptcy and shall be relieved of the credit cards, medical bills, and lawsuit. We may need to remove a judgement lien from their homestead.

A widowed senior citizen in his 80s from Wewa. His wife has recently passed away. He has a mobile home with a mortgage and approximately $38,000 in credit card debt. His only income is social security of approximately $1200 per month. He is going to file Chapter 7 bankruptcy and wipe out all of the credit card debt. We see a lot of cases like this involving senior citizens.

A single female senior citizen taking care of two grandchildren at home living in Marianna. One of the children is mentally handicapped. She has a mobile home that is dilapidated and in poor condition that is the subject of a mortgage with a debt much higher than the value of the home. She has outstanding credit cards and medical bills. She wants to surrender the mobile home and is concerned regarding the deficiency balance once it is sold. She is going to file Chapter 7 bankruptcy, give back the home, wipe out any remaining balance, and also be relieved of the credit cards and medical bills.

We really shouldn’t presume anything about anyone that has to file bankruptcy. Everyone’s case is different and we all face different circumstances in life. Bankruptcy is typically a consequence of something else that has happened in your life.

Please let me know if I can help.