For 3 in 10 Americans with No Savings, Chicago Bankruptcy Can Offer Fresh Financial Start
Nearly 30 percent of Americans have no money socked away to cover emergency expenses like a job loss or car repairs, according to a new survey by Bankrate.com.
Of those surveyed, only 25 percent had saved the recommended six months worth of living expenses. In fact, half of the 1,000 participants admitted they couldn't make it three months without a paycheck.
Given that the average time it takes to find a job these days is five months, most of us would be in financial trouble in the event of a layoff, say Chicago bankruptcy lawyers.
Without savings to fall back on, consumers are forced to rely on credit to cover the bills. As credit card bills get larger, they become more difficult to pay and more likely to impact the card holder's credit score.
Often times, unexpected bills eventually lead consumers to file for Tennessee bankruptcy.
Americans' lack of savings is nothing new, but in recent years, experts had noted an increase in savings and a decrease in debt as the recession spurred families to be more cautious with their finances. However, consumers seem to be falling back into their old habits.
It could be that we're tired of scrimping and saving - or that our credit card debts have finally grown so large that we need to allocate all of our extra income to the bills.
Sometimes, consumers have simply fallen out of the habit of saving. According to Bankrate.com, many folks can retrain themselves to save by setting up regular direct deposits from paychecks into a savings account, making the process automatic.
Of course, that's often easier said than done. When an excess of expenses - or a lack of income - is the problem, tackling debt may help.
By filing for Tennessee bankruptcy, for instance, consumers can reduce debts - and payments on those debts - freeing up more money each month.
If you're drowning in overwhelming debt, one surprise expense can decimate your finances.
Filing for bankruptcy in Chicago can help you wipe the slate clean and refresh your finances so that if you are hit with unexpected expenses, you'll have the resources to overcome them.
To find out if Chicago bankruptcy is right for your financial situation, contact the DebtStoppers Bankruptcy Law Firm today at 800-440-7235. Call today for a free one-on-one debt analysis courtesy of a Chicago or Tennessee bankruptcy attorney.
More Blog Entries:
Nearly 3 in 10 Have No Savings for an Emergency, by Allison Linn, MSNBC.com