10 signs showing you will go bankrupt in a year
If you could flashback your lifestyle, you will get a clear picture of events that should have served as the writings on the wall. It is better you know them now than regret later. Here is the list:
1. Borrowing from one to pay the other
Nobody wishes to get to such a vicious cycle, but anybody can find him/herself in the situation. Economic hardship can lead you to borrow from one creditor to settle a debt from the other. It is an interesting game that won't last long. In one way or the other, sooner or later, you will be forced to give up and bow down to bankruptcy demands.
2. Bank account flashing negative
At all cost, you should keep your account reading positive. If your account can lie dormant for some time till the next pay come, you will need to work out on a rescue plan. If you fail to act quickly to salvage the situation, the inevitable will happen!
3. Frequent calls from creditors
This is very common. You will receive frequent visitations from the agent from the lending firm. If not, letters will come in more frequently, followed by calls as reminders of the possible steps they are about to take. It is nobody’s wish for these. In fact, it is a nightmare and emotionally straining. Unless something is done quickly, you will soon be headed to consultant’s office for a review of the available bankruptcy options.
4. You hardly make any savings
Failure to save is a clear indication that you have lesser money in your pockets to circulate. For a well off person, it should not be very hard to make a monthly deposit on the savings accounts as there can be more money than you can actually spend. The reverse should be a fair warning that you carefully watch your financial steps.
5. Inability to meet debt payments
You should chew what you can swallow. The same way, you should borrow as much as you can comfortably pay back. If you find yourself in a situation where you are really struggling to meet the debt payments, then bankruptcy is just around the corner. To avert this, you should try out a number of ways to increase your income, including working overtime.
6. Foregoing basic needs to meet debt pay
There is no sign as clear as skipping some meals to meet debt payments. It is highly unlikely for many, but if this is your case, you have some work to do! Skipping health insurance cover funding should be a clear sign for you that the bankruptcy crisis is looming.
7. Borrowing Loans against Life Insurance
When you took that life insurance cover, the chances are that you were in a good financial situation. Now if you begin taking loans with the life insurance as a security, something is definitely amiss somewhere. It is upon you to figure out where the rain started beating you and mend the roof before an even bigger catastrophe — Bankruptcy!
8. You do not get credit, even after meeting the obligations
FICO employs the latest technology to determine the credit worthiness of an individual at any given time. Thus, if you fail to get credit, the chances are that the system has blocked you as you have become a heavy lending risk to the creditors. You are regarded not able to meet payment for a future debt, thus should not get funding in the first place.
9. You are yet to pay the monthly loan
Lagging behind in home loan payment means that something is amiss. It indicates that the funding usually meant for the same was directed to solve another crisis. Before long, you will hear from the loan company unless you act immediately. Filing for bankruptcy will soon become an option for you, as the last resort.
10. Credit cards reading almost zero
Credit lenders are more careful about funds in your credit card at any given time. Hardly surfacing amounts is a clear indication your worst worries will soon become true. This is based on the habits of individuals and their credit card readings just before the bankruptcy made a knock on the door. You should also know that the companies keep a constant eye on those individuals struggling to make ends meet. You might just be added to that list.
My name is Craig R. Chlarson. Whether you are seeking to eliminate your debt, typically through a chapter 7 filing, or whether you are seeking to reorganize your debt, typically through a chapter 13 filing, or even if you have basic bankruptcy questions, call me today. I can help you.
To schedule an appointment, call (435) 901-3449
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