Helping With Your Financial Future

Dealing with negative emotions after bankruptcy

On Behalf of | Jul 1, 2024 | Life After Bankruptcy

Filing for bankruptcy is a major decision that sparks a lot of emotions. Unfortunately, the negative emotions often take over. One thing that many filers often feel is shame. 

However, bankruptcy is nothing to be ashamed of. With millions of people in the U.S. struggling with debt, filing for bankruptcy is understandable, and it is a chance to start again. 

Here are a few tips that should help you overcome the negative emotions associated with bankruptcy

Remembering why 

Reckless spending can cause financial problems. Nonetheless, the truth is that most filers have not spent carelessly. The most common causes of bankruptcy are not fault-based. For instance, medical debt is one of the most common causes. A person cannot be blamed for falling ill and requiring treatment. 

Job loss is another common cause of bankruptcy. Again, a person cannot help it if the company they worked for hit hard times and had to let employees go. Studies suggest that the overwhelming majority of Americans live paycheck to paycheck, meaning that job loss can cause serious financial issues. 

Moving forward 

One of the most beneficial aspects of bankruptcy is that it presents a chance to move forward. Even if you did make some mistakes in the past, these can be rectified and you can start as you mean to go on. 

Post-bankruptcy, your credit rating may be impacted. However, with the right plan in place and by making regular payments on bills, your credit rating will soon start to improve again. 

It may feel like you are facing bankruptcy in isolation, but you aren’t. Millions of people are in a similar position. Seeking legal guidance will help you to take stock of the situation and focus on the positives.