Can a bankruptcy payment plan help Florida residents with debt?

On behalf of Bankruptcy Law Firm of Clare Casas on Thursday, January 16, 2014.

Most financial problems can be blamed on debt rather than the size of one’s income. In some cases, Florida residents can get out of debt through the simple management of their spending and credit card use habits. In other cases, a bankruptcy payment plan may help to get one back in sound financial shape again.

An analyst from a financial services provider recently claimed to have a friend who was earning hundreds of thousands of dollars per year. Allegedly, the man was sought bankruptcy protection last year. Meanwhile, the analyst has another friend who has never earned a salary that exceeds $50,000 per year, but the man is now retired and in a secure financial position.

The difference between the two men was in their spending and borrowing habits. One lived realistically and within his means while the other borrowed money to live above his means. In short, saving money provides options for the future while debt only serves to rob one of those options.

This is why it is so important for anyone who is suffering from debt problems to resolve the situation as quickly as possible. Depending on one’s income, property holdings, net worth and other financial circumstances, a bankruptcy payment plan could be the right solution to achieve the goal of becoming debt free. A detailed review of the facts pertaining to a particular case, however, will reveal whether a Florida resident can benefit from a Chapter 13 bankruptcy reorganization or if other debt management options may be more effective.

Source: Business Insider, Why A 6-Figure Salary Won’t Keep You From Going Bankrupt, Jenna Goudreau, Jan. 3, 2014