The economy is an ever-changing system, as years of sudden or gradual changes have proven. Because of the intricacies that make up an economy, the way this system affects industries, businesses, and people varies differently depending on their various financial standings. Today, the economy has seen changes within the last few years that benefit some parties but has become detrimental to others. If you find yourself dealing with difficult financial conditions, you may be seeing the effects of our economy. Behm Law Group, Ltd. provides expert legal assistance to help you determine if filing for bankruptcy in Jackson, MN may help you combat how the economy has affected your family or business.
While many reports of economic standing in the U.S. are positive, we still have reason to believe that not everything is going as well for some as it is for others. In fact, numerous studies and investigations show that many Americans are struggling to stay above the poverty line, and others are still living from paycheck to paycheck despite two incomes supporting the household. Unemployment rates may be lower than they’ve been in years, but some studies show that even as much as 31% (76 million) of U.S. citizens with jobs are still struggling to make ends meet.
Why is this happening?
The economy is a complex system, and there are thousands of individual circumstances that may be adding to the financial strain on households and businesses across the country. One condition that may be adding to the financial difficulties of many is the constant “hollowing out” of the middle class. This means the middle class is shrinking for two reasons: the households that prosper move to upper class economic standing, and the households that do not prosper move to lower class economic standing.
Because the middle class is shrinking, the economy is shifting to create a greater financial gap between the small percentage of citizens at an economic upper class standing and the much larger percentage of citizens at an economic lower class standing. This leads to decreased spending from the population as a whole, which then leads to increased prices in all areas of consumer industry, making it more difficult for those in the remaining middle class and lower-class.
The increase in financial strain many Americans are experiencing means more and more households are seeing expense and debt increases without increases in income. If you find yourself in this position, debt relief can be an invaluable chance to stay above the poverty line and keep your financial situation stable. Filing for Chapter 13 bankruptcy may be the best option to restructure your debts into a manageable repayment plan without losing your home, car, and other properties as you might with liquidation bankruptcy. Chapter 7 has its place among debt relief options, but with a regular income and a family or business to support, Chapter 13 bankruptcy is the best choice for individual consumers above the poverty line.
To learn if filing for bankruptcy in Jackson, MN, is the best choice for you, or to get started with your case today, contact Behm Law Group, Ltd. at (507) 387-7200.