Many people who come to me for a bankruptcy consultation are embarrassed
about their financial situation. Some tell me that until now they have
never missed a payment of their bills. However, they are at a point where
they cannot pay their bills as they come due and are experiencing non-productive
time worrying and sleepless nights.
After quantifying a client's priorities, it is generally clear that
they want to keep their residence whether it be a house they own or rental
unit because that is where they live. Car payments seem to be the next
most important asset for most clients who need transportation to and from work.
Finally, we review credit card payments and find that most people in financial
difficulty have an inordinate amount of credit card debt that has built
up over the years. Sometimes, in order to be able to keep a residence
or much needed car, clients need to stop paying their credit card debts.
Client's sometimes bemoan the fact that they have been with a particular
bank for 30 years and feel loyalty to them. However, the glut of credit
card debt is a two-way street. The banks and credit card companies were
quick to extend credit in past years and mail out unrequested credit cards
in order to entice people into using credit to buy things they could not
afford. It is my view that a client-debtor need not feel sorry for the
large banks who have been bailed out by the US government and who have
paid their executive officers record bonuses in recent years.
U.S. bankruptcy law begins with the Constitution. See Article I, section
8, which gives the Congress power to promulgate bankruptcy laws. It is
said that the founding fathers as business men were acutely aware of the
financial dangers that individuals faced when attempting to take risks
in order to improve their lot. The English concept of debtor's prison
was not incorporated into US law.
Bankruptcy is a federal legal right that in today's society does not
create a stigma and is a very valuable tool for individuals and corporations.
New potential client's have many questions regarding
bankruptcy, and the best way to have these questions answered is by contacting an
Westchester bankruptcy attorney who will spend the time necessary to provide enough information for the
client to make a decision as to how to improve their financial standing.
I will be glad to discuss your financial options if you
contact our office to schedule a consultation.