As 2011 winded down some frightening numbers, facts and figures were released that threw a kibosh on any kind of New Year’s celebration. The media keeps telling everyone of how the economy has turned the corner and things are getting much better. What they’re not telling you is the facts. Three years ago the price of gasoline was $1.79 a gallon and today it is close to $4.00. When energy goes up in price the whole economy suffers with it. We haven’t even gotten started on the real estate market. The real estate market continues to be dismal at best, with prices still on the decline and although interest rates are low, it’s next to impossible to qualify for one of these loans. The unemployment rate has continued to stay above 8% for over three years and many are questioning how this number is being reported. Many people have been unemployed for more than their 99 weeks of eligibility for unemployment insurance and if they don’t get a job before it runs out, the government reports it as they went back to work. According to Reuters, there are 23.7 million American workers that are still unemployed or underemployed. If you added all these people up and put them in one area they would make up the 68th largest country in the entire world. These facts are dismal and with 2012 being an election year, it’s highly unlikely that you’ll get any kind of truth from the media.
That’s why if you are one of these statistics, you should ask the question, in 2012 should you consider filing bankruptcy? Filing Chapter 7 bankruptcy might be the only silver lining in this dark economic cloud of uncertainty. At least you’ll know one thing for sure when filing bankruptcy and that is when you get your bankruptcy discharge you should be debt-free from all unsecured debts. There is a possibility that one can be completely debt free if they don’t have any obligation to back taxes, child support, maintenance payments, court fines or if they don’t hang on to any secured debts like an auto loan. In 2012 you can stop creditors from the continued harassment by filing Chapter 7 bankruptcy. When filing bankruptcy, the automatic stay is put in place stopping creditors from all collection activity. This even goes further than just the phone calls, it also stops all legal activity including foreclosure, lawsuits, judgments and wage garnishments. The power of filing bankruptcy might be your lucky charm to turn this year around and start over without being buried in debt.