The term bankruptcy is often associated with feelings of failure, doom, and embarrassment. Despite it being a common and legal form of debt relief, this legal proceeding carries a social stigma shrouded in misinformation. However, those who have done the research, made the filing, and have come out on the other side sing a different tune about bankruptcy.
Bankruptcy has the ability to change one’s life for the better.
In more ways than one, those who have filed for bankruptcy after facing significant financial hardship have gone on to report greater emotional well-being, improved financial habits, and a sense of empowerment. This common legal proceeding doesn’t just help eliminate debt – it can help create a better tomorrow for yourself and your family.
Here are the top five ways bankruptcy has changed filers’ lives for the better!
1. Financial Security
A common sentiment shared amongst filers post-bankruptcy is the ability to rebuild their savings. Prior to filing, all of their money was wrapped up in making minimum monthly payments and navigating growing financial strains; they simply did not have the ability to save. After liquidating debt through Chapter 7 or getting on a manageable repayment plan through Chapter 13 bankruptcy, filers are able to better manage their finances and create a sense of financial security by building a savings account.
2. Improved Health
Stress is a significant driver in poor health outcomes. Both mental and physical health can face serious negative impacts when under the undeniable stress of surmounting debt. When people finally get the debt relief they need through bankruptcy, many report almost immediate improvements in mental and emotional health, with physical health soon following. Some may even feel more empowered to treat their health issues, thanks to now available funds from no longer paying hefty interest rates or juggling multiple overdue bills.
3. Improved Relationships
Speaking of stress, personal health is not the only thing debt stress can affect. Relationships are also often put to the test during times of financial strain. After bankruptcy, many people notice improvements in their personal and family lives as the stress begins to ease. With more stability comes better communication, more time for loved ones, and the emotional space to enjoy life again.
4. Freedom to Rebuild Credit – Not Run From It
Your credit score may dip right after filing, but it won’t stay there forever. In fact, many people begin to see improvements within a year. Without the weight of past-due accounts or mounting interest, you can start building credit responsibly with secured cards, timely rent or utility payments, or manageable installment loans. With patience and consistency, you can rebuild a healthier credit profile than you had before filing.
5. Greater Confidence in the Future
One of the most overlooked benefits of bankruptcy is the confidence it can restore. You’re no longer overwhelmed by debt, and you’ve proven to yourself that you can take charge of your circumstances. That confidence fuels better decision-making and a more proactive mindset when it comes to both finances and life in general.
Let Bankruptcy Be Your Turning Point
If you’re ready to take control of your financial future, it’s important to have a trusted bankruptcy lawyer on your side.
Baltimore bankruptcy lawyer Adam M. Frieman is here to help you navigate the legal side of bankruptcy seamlessly. With over 25 years of law experience, including being the founder of one of the most notable bankruptcy law firms in Baltimore, he understands the ins and outs of bankruptcy. But he stopped believing bigger means better; that is why he now operates his own firm and personally represents every one of his clients.
To learn more about how Adam can help you with your bankruptcy journey, contact his office today!
