Castle Law Office Blog | Missouri & Illinois Bankruptcy Legal Blog

November: A Focus On Emergencies That Lead To Bankruptcy

This month in our library section, we are focusing on some of the most common reasons that individuals and families file for bankruptcy in Missouri and Illinois. Much of the time bankruptcy is not caused by years of frivolous spending, but rather a life emergency that you were not prepared for and that you cannot pay for.

Specifically, our new bankruptcy informational articles discuss three major reasons bankruptcies happen:

• A medical emergency. If you or a loved one becomes sick or is involved in an accident and does not have health insurance – or if you have health insurance that does not properly cover your medical needs – you could quickly find yourself with thousands and even hundreds of thousands of dollars in debt.
• A divorce. Divorce tears families apart – and it can also ruin the years that you have spent working toward financial security. Divorces are not only expensive, they can also change every aspect of your financial life for the foreseeable future.
• A job loss. Jobless rates are still climbing, and although many economists think that the recession is over, some have been out of work for over a year. After jobless benefits run out, many families run through their savings and then have nowhere to turn.