Over the last 20 years more people have been worried about how much available credit they have rather than how can they pay off their debt to become debt-free. In 2010, there were approximate 1.6 million Americans that use filing bankruptcy to eliminate their debt. In 2011, this number dropped to about 1.4 million. While the government would like Americans to believe that things are getting better, the numbers don’t lie and the economy is actually getting worse. The media keeps pounding the news on the decreasing unemployment numbers and cherry pick reporting the news on sectors that are doing okay. Recently, Realty Trac reported it accidentally misreported on the number of housing sales, showing actually it wasn’t near as good in 2011 as originally thought. It’s inevitable that what goes up must come down and with the government falsely inflating the economy, it’s going to take a lot longer for the US to hit rock bottom.
On another note, recently, many people have become interested in getting back to a debt-free lifestyle. Most Americans over the last 10 years have buried themselves under a mountain of credit card debt and feel they have no way out. This stress from the unmanageable debt is destroying marriages and numbers and many are wondering how hard would it be to become debt-free. If the debt of an individual comes mostly from credit cards, filing Chapter 7 bankruptcy might be a way to become debt-free or close to it. Having a bankruptcy attorney review the debtor’s financial situation will help the individual to get a good idea on what’s required to pull it off. While, filing bankruptcy and the term debt free seldom go hand-in-hand, with a good bankruptcy attorney becoming debt free might not be far off. Lately, many individuals filing for bankruptcy are filing because of large amounts of unsecured debt. Much of this debt has a higher interest rate that can quickly get out of control making it unaffordable for the debtor to pay this debt off. When the balances of credit cards get up over $20,000, the individual has two choices, win the lottery or file for bankruptcy. Everyone knows the odds of winning the lottery, so it’s probably better to contact a bankruptcy attorney instead.