Law Office of Robert W. Kovacs, Jr Articles Consumer Debt at an All-Time High

Consumer Debt at an All-Time High

By Law Office of Robert W. Kovacs, Jr.  Aug. 8, 2011 2:30p

Are you part of this growing trend in Boston?

According to the American Bankruptcy Institute, research conducted by the Federal Reserve shows that household debt in the United States stands at record numbers in relation to disposable income. This current high level of indebtedness may be the result of the slumping economy, high unemployment rate, the dwindling dollar,and personal financial problems resulting from individual misfortunes as well as consumer overspending and debt mismanagement.

Bankruptcy filings in this country peaked in 2005 before bankruptcy laws were changed and tightened. Since a significant drop in 2006, bankruptcy filings continued to rise each year until 2010. Only recently, in 2011, bankruptcy filings fell by 5%, a result in consumers tightening their belts and refraining from overspending as the recession has continued.

In 2009, Massachusetts ranked 35th in the nation for all chapter filings, which consisted of 3.18 filings per 1000 residents. Despite the decline in actual bankruptcy filings, the continued level of high consumer debt reveals the financial problems many in this country still continue to face as the nation struggles to recover from a deep recession.

A Boston Bankruptcy Lawyer Can Help

You may not want to think of yourself as a statistic but if you are among the U.S. households in Boston that is drowning in consumer debt, you should get the legal advice and help you need from a law firm that focuses on debt relief. At Law Office of Robert W. Kovacs, Jr. you can talk to a Worcester bankruptcy attorney about your financial dilemma and the options that are available to you. If you are being harassed by creditors at home or at work, facing the prospect of losing your home or car, and lying awake at night worrying about how to pay your bills, you can put an end to such stress and anxiety.

The firm offers a free consultation in which you can sit down and discuss the specifics of your financial situation with a legal professional who is well-versed in all of the complexities of federal and state bankruptcy law and who can help you explore the best way to resolve your situation, based on your needs and goals. While bankruptcy may not be the best solution for everyone, it offers a valid legal solution for those facing insolvency, wiping out consumer debt or providing a method for reorganizing debt through the bankruptcy court. Understanding your options and making well-informed decisions about how to resolve your consumer debt is an important first step on the road to financial recovery.

Contact a Worcester bankruptcy lawyer at Law Office of Robert W. Kovacs, Jr. if you need help with debt relief in the greater Worcester area today.

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