Financial Warning Signs of Bankruptcy
Bankruptcy may be something that you never considered.
Like many people, you probably believe that you will always have enough money to pay your bills.
However, it is very important that you pay attention to what is really going on with your finances.
On that note, here are some things to be aware of that may be signs of you heading toward filing bankruptcy.
No Left Over Money It is wise to pay your bills before going shopping for "wants" (things you do not need but desire).
However, if you barely have any money left over after paying your bills, the reasons can be one of two things.
Either you need a better paying job, or you need to cut some of your expenses.
Whatever the reason, make the needed adjustment quickly.
If not, you may soon find yourself skipping bills and eventually, skipping meals.
To get back on your feet, you may have to file bankruptcy if you do not make changes soon to your financial situation.
Collectors Calling If collection agencies (collectors) are calling you, it is not okay.
Never consider bill collectors calling you to be a normal part of your life.
Instead, look at this as a major warning sign to you filing bankruptcy.
A collection agency is a firm who goes after money owed by people or businesses to other people or businesses.
They make their money by retrieving the money they collect from people and businesses who owe money to creditors.
Therefore, the collectors will always be more adamant to collect a debt from you than the original creditor was.
If you decide to not answer their phone calls or postal mail, they will not stop coming after the money they are seeking.
Not only will they continue to call you and mail notices, they may even try to garnish money from your paycheck.
The only way to get them to stop calling is to pay them or file bankruptcy on the account(s) they are calling about.
Accounts Consistently Overdrawn If your bank account (checking or savings) is continuously being overdrawn, it is an obvious indicator that your financial situation is not good.
If your account is consistently overdrawn, it can be one of two factors.
Either you have poor money management habits or you have more money obligated (bills) to go out than what is coming in (your income).
If this is you; stop, find out why, and make adjustments.
Never make friends with debt and expect it to simply go away one day.
If you do not find a natural way to get out of debt, you may find yourself talking to a lawyer about filing bankruptcy.
Like many people, you probably believe that you will always have enough money to pay your bills.
However, it is very important that you pay attention to what is really going on with your finances.
On that note, here are some things to be aware of that may be signs of you heading toward filing bankruptcy.
No Left Over Money It is wise to pay your bills before going shopping for "wants" (things you do not need but desire).
However, if you barely have any money left over after paying your bills, the reasons can be one of two things.
Either you need a better paying job, or you need to cut some of your expenses.
Whatever the reason, make the needed adjustment quickly.
If not, you may soon find yourself skipping bills and eventually, skipping meals.
To get back on your feet, you may have to file bankruptcy if you do not make changes soon to your financial situation.
Collectors Calling If collection agencies (collectors) are calling you, it is not okay.
Never consider bill collectors calling you to be a normal part of your life.
Instead, look at this as a major warning sign to you filing bankruptcy.
A collection agency is a firm who goes after money owed by people or businesses to other people or businesses.
They make their money by retrieving the money they collect from people and businesses who owe money to creditors.
Therefore, the collectors will always be more adamant to collect a debt from you than the original creditor was.
If you decide to not answer their phone calls or postal mail, they will not stop coming after the money they are seeking.
Not only will they continue to call you and mail notices, they may even try to garnish money from your paycheck.
The only way to get them to stop calling is to pay them or file bankruptcy on the account(s) they are calling about.
Accounts Consistently Overdrawn If your bank account (checking or savings) is continuously being overdrawn, it is an obvious indicator that your financial situation is not good.
If your account is consistently overdrawn, it can be one of two factors.
Either you have poor money management habits or you have more money obligated (bills) to go out than what is coming in (your income).
If this is you; stop, find out why, and make adjustments.
Never make friends with debt and expect it to simply go away one day.
If you do not find a natural way to get out of debt, you may find yourself talking to a lawyer about filing bankruptcy.
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