Why the Uptick in Corporate Bankruptcy Filings Matters for Families

 Posted on June 13, 2023 in Bankruptcy

According to S&P Global, more U.S. corporations filed for bankruptcy during the first four months of 2023 than any other year’s first quarter dating back to 2010. Evidence suggests that a combination of high interest rates, significant debt burdens, and consistently high inflation are all affecting corporate America’s ability to remain afloat without assistance. According to S&P, companies that specialize in consumer discretionary goods and services are being hit hardest. Although many businesses laid off workers within the last year to stave off financial challenges, their efforts did not make enough of a difference for those that have opted to file for bankruptcy.

Are Personal Bankruptcy Rates Going to Spike Next?

Generally speaking, when companies are laying workers off and filing for bankruptcy en masse, this indicates that many families across the country are also struggling financially. As a result, many individuals and married couples may discover that they too cannot regain their financial footing adequately without seeking the benefits that bankruptcy protection provides.

It is important to understand that most individuals who file for bankruptcy do so because they have fallen on hard times that are no fault of their own. Job loss, medical bills, and even the death of a loved one can quickly mean the difference between being able to make ends meet and needing to explore significant debt relief and/or debt management solutions. This is nothing to be embarrassed about. If well-respected companies can ask the government for assistance in this way, so can well-respected individuals and families.

Speak with a Capable San Antonio Bankruptcy Lawyer to Learn More

When it comes to weathering truly challenging financial circumstances successfully, being as proactive as possible tends to be key. It can be understandably tempting to ignore calls from creditors and seemingly endless reminders of your struggles sent via email and postal mail. Yet, by connecting with someone who understands how to navigate the debt relief and debt management solutions available to people just like you, you can take control back of your financial situation sooner rather than later. By acting quickly, you can also avoid additional penalties, late fees, and other challenges that will only add to your stress.

To learn more about how you can go about managing your current situation more efficiently and effectively, consider scheduling a pressure-free, confidential case evaluation at the Law Offices of Chance M. McGhee today for free. Our firm’s dedicated San Antonio, TX bankruptcy lawyer believes that everyone – regardless of their ability to pay – deserves the opportunity to learn about their options in a low-stress setting. To get started, you can either reach out via our firm’s website or you can call 210-342-3400 at any time. We look forward to hearing from you.

Source:

https://www.nytimes.com/2023/05/18/business/dealbook/corporate-bankruptcies-high-debt.html