When facing financial hardship, you may feel intense anxiety about your future.
However, there may be resources that can help. You deserve a chance to recover, and with the right support, you can.
1. Creditors are harassing you
According to the Fair Debt Collection Practices Act, individuals or companies trying to collect debts must behave in a way that is communicative and informative, but not misleading or harassing. The following actions are just a few of those which the Consumer Financial Protection Bureau deems improper:
- Calling repeatedly
- Mailing letters that look like legal documents
- Misrepresenting themselves
- Using obscene language
- Failing to disclose the amount of the debt
- Threatening physical violence or arrest
If creditors are making you feel trapped or unsafe, your attorney may offer some relief. Additionally, you can submit a complaint to the CFPB.
2. You are drowning in medical bills
The most common cause of bankruptcy is medical debt. When an unexpected hospitalization derails your future, you may feel overwhelmed. Before making any rash decisions like maxing out your credit cards or transferring your house to a family member, you need to understand the legal repercussions of your actions.
3. Your home is in foreclosure
Bankruptcy may seem scary, but it does offer some protection. If you are about to lose your home to foreclosure, having your lawyer file a bankruptcy petition causes all repossession actions to cease. You may then have time to sort out your finances and catch up on your house payments.
When money troubles threaten to destroy your life, it is important to understand that you have options.