Founder
Facing financial challenges can be overwhelming. Many people hesitate to explore bankruptcy, fearing the stigma or complexity of the process. However, bankruptcy is designed to provide relief and a fresh start when debt becomes unmanageable. If you’re unsure whether it’s the right option, here are five signs it might be time to consider filing for bankruptcy.
1. You’re Relying on Credit Cards for Basic Necessities
If you find yourself using credit cards to pay for groceries, gas, or monthly bills because there’s no cash left in your account, it’s a red flag. This habit often leads to a cycle of high-interest debt that becomes nearly impossible to escape. Bankruptcy can help discharge or restructure your credit card debt, giving you a chance to reset your finances.
2. You’re Facing Constant Calls From Creditors
When debt collectors are calling non-stop, sending letters, or threatening legal action, it’s a clear indication that your financial situation has spiraled out of control. Filing for bankruptcy triggers an automatic stay, which halts creditor harassment, wage garnishments, and pending lawsuits. This gives you the breathing room to focus on rebuilding your finances.
3. You’re Falling Behind on Mortgage or Rent Payments
If you’re struggling to keep up with your mortgage or rent, bankruptcy may be a solution. Chapter 13 bankruptcy can help you catch up on missed payments while keeping your home. For renters, bankruptcy can stop eviction proceedings temporarily, buying you time to figure out your next steps.
4. You Have Mounting Medical Bills
Medical debt is one of the leading causes of bankruptcy in the United States. Even with insurance, a serious illness or injury can leave you drowning in bills you simply cannot pay. Bankruptcy allows many people to discharge medical debts and regain financial stability without sacrificing their basic needs.
5. Your Debt Is Growing Faster Than You Can Pay It
If your balances keep climbing despite making minimum payments, or if you’re taking on new debt just to pay off old obligations, you may be caught in a debt spiral. Bankruptcy can break the cycle by wiping out or reorganizing your debt, enabling you to regain control of your financial future.
When to Talk to a Bankruptcy Attorney
If any of these signs resonate with you, it might be time to consult a bankruptcy attorney. At Dennery Law, we understand how overwhelming this decision can be. Our team specializes in helping Central Kentucky residents navigate the bankruptcy process with compassion and expertise.
We’ll review your financial situation, explain your options, and guide you every step of the way. Bankruptcy isn’t the end—it’s a new beginning. Let us help you take the first step toward a brighter financial future.
Contact Dennery Law or visit our website to schedule a free consultation. Don’t wait until it’s too late—take control of your finances now.