Chapter 7 bankruptcy is one of those subjects and issue most of us wish we never have to encounter or entertain.
"Entertain"? Does that sound right? I think none of us would ever entertain or invite into our lives.
But the subject does come up for many people who are struggling with debt, credit card debt in particular.
The reasons are many and varied.
Recent studies have shown that more than 60% of personal bankruptcies are caused by medical bills, and more than half of these cases were people who did in fact have medical insurance.
So what gives? Why is chapter 7 bankruptcy so frequent and common today? To be honest, much if not most of the bankruptcies filed today can in some measure be traced back to issues related to our economy, which was on life support for much of the past 2 years.
The great recession affected many individuals and families, and pushed many over the edge.
Down, down, down they went.
During this time period, over 6 million U.
S.
jobs were lost.
The unemployment rate went up to 10.
2% - the highest unemployment level in 26 years.
Wrong are those strangely optimistic people who try to spin the issue into something positive, such as referring to the 10.
2 unemployment rate instead as the 10.
2% available employees rate, some even going so far that the work pool for employers to choose from has never been better, and continues to grow every month.
What's wrong with this picture? Much I'm afraid.