Bankruptcy in the U.S. has a number of seasonal patterns that have existed for years. These patterns show an increase or decrease in the rates of bankruptcy for consumer households and businesses depending on the status of the economy and certain other events—for example, tax season sees an annual increase in bankruptcy cases during April. For the times of year when bankruptcy becomes more likely an option for individuals and businesses, Behm Law group, Ltd. can help. Our experienced bankruptcy attorneys provide legal advice and assistance to those considering filing for bankruptcy in Owatonna, MN.
In comparison with the last few years, bankruptcy rates have shown an unusual increase in filings during June and July of 2017. The numbers in record showed around a 16% increase in bankruptcy cases from the same time the previous year. These additional cases include both consumer and business bankruptcies.
Though there is no exact pinpoint cause of this abnormal increase in bankruptcy rates, there are several economic conditions that have accumulated against individuals and businesses. These circumstances have pushed those considering bankruptcy into deeper and deeper financial struggle.
From dipping storefront stability due to an ever-growing online shopping market affecting businesses, to changing interest rates and debt treatment affecting most consumers, there is a wide range of aspects to take into account when understanding why bankruptcy is growing.
Although it seems dangerous for so many US businesses and households to rely on bankruptcy relief all at once, it remains a viable option for those struggling with debts and difficult financial obligations. With the help of Behm Law Group, Ltd. attorneys, small businesses and individuals can benefit from choosing to file for Chapter 7 liquidation or Chapter 13 reorganization bankruptcy.
Long-Term Benefits of Bankruptcy
- Debt relief is the main benefit from filing for bankruptcy. If your debts are treated with Chapter 7, there are several debts you will not have to pay back, and if your debts are treated with Chapter 13, you’ll have a chance to restructure your repayments into a manageable plan in which you pay only small parts of your debts.
- Credit relief is also a viable long-term option for those with completed bankruptcy cases. Although your credit will not reflect positive changes immediately, you can begin to rebuild your credit over time without the negative impact of accumulated debts.
- An overall fresh start is possible with bankruptcy, and despite the disadvantages that bankruptcy may pose, the immediate and long-term advantages outweigh the economic damages that may affect you.
If you’re considering filing for bankruptcy in Owatonna, MN, this summer, or in the near future, our attorneys can be key in helping you put together a successful case. For more information, contact Behm Law Group, Ltd. at (507) 387-7200 today.