What are some reasons that someone would file for personal bankruptcy when it is unnecessary or there was no need in the first place?
Jan Meriss Alfonso Assistant at Ascent Law LLC Personal Bankruptcy - What Are Some Common Reasons For Bankruptcy? Personal bankruptcy is a legal process that helps people get rid of their debts. Common reasons that people file for bankruptcy include job loss, medical expenses, and unaffordable mortgages. Others experience financial hardship due to overspending or are struggling to support family members. Job loss Job loss is one of the most common reasons people file for personal bankruptcy. A job loss can be devastating financially, as you have no other means of income to cover your living expenses. The best way to protect yourself from this type of financial disaster is to have a safety net of some kind. While some people are fortunate enough to have an emergency fund or a severance package from their previous employer, many people are not. A job loss can affect a person's ability to file under Chapter 7. For example, if you cannot pay your current bills because of a job loss, ...