No one wants to file for bankruptcy, but there are times when it becomes a good idea. When the bankruptcy red flags start to appear, it is time to contact Kain+ Henehan for help. It is better to start handling the problem early rather than letting it spiral too far out of control. Here are five signs that you might need to contact Kain + Henehan bankruptcy attorneys.
Angry Creditors
The most obvious of the bankruptcy red flags is getting calls from angry creditors. In most cases, companies want to maintain a positive, supportive relationship with their customers. When creditors forego being nice to get you to pay up, then you know you are in trouble. Creditors can be relentless in trying to get you to pay them as soon as possible. For many, this is the breaking point where they start to seek help, including contacting a bankruptcy attorney.
Limits on Borrowing
One of the less obvious bankruptcy red flags is the limits on borrowing money. Normally, companies will let you borrow more. For example, credit card companies can raise your limit without asking so that you can keep spending. If companies start to limit how much you can borrow, that means that they think you are becoming too much of a risk.
Wage Garnishments
Wage garnishments are a forceful way for the government to recoup money that you owe. For any organization to resort to that means that they know that you are a payment risk and are not likely to pay on your own. Wage garnishments can be difficult to deal with since you likely cannot control the size of the garnishment and how that impacts your finances.
Consistent Collection Notices
Getting collections notices means that you are in over your head. Receiving collection notices every week in the mail is a sign that you’re not in a position to be able to pay off the debt with your current income and bankruptcy could help you get the fresh start that you need to move forward with your life.
Repossessions
If your vehicle has been repossessed, this is a sign that you might benefit from learning more about the bankruptcy protections guaranteed to you under federal laws. While a repossession doesn’t necessarily mean that you must file bankruptcy, it is a sign that you may not be in the best financial place overall. Take a hard look at your finances and be realistic about your current financial state.
Contact a Bankruptcy Attorney to Learn More
Bankruptcy can be an effective way to overcome significant financial hardships. It can put you in a better place overall and help you with these red flags. Contact Kain + Henehan by calling (612) 438-8006 or filling out the online form to learn more.
