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Can filing for bankruptcy help your mental health?

| Mar 28, 2021 | Chapter 7

When people need to file for bankruptcy, they often focus on how it will help their financial situation. They might not realize that filing for bankruptcy can also have a positive effect on their mental health. Knowing these before you file can help you to cope with them. Ultimately, bankruptcy is a great step to take toward improving your emotional well-being.

While some people feel guilty or embarrassed about their financial situation when they file for bankruptcy, they are often surprised at how much better they start to feel once the process begins. Here are some of the reasons their perspective changes:

They learn that financial hardships are normal

Some people feel ashamed that they’re having financial difficulties, but this is normal. At one point or another, almost everyone will have some sort of money struggles. For most people who file for bankruptcy, the financial difficulties they have are due to things out of their control. Talking with a bankruptcy attorney often helps debtors see that they’re not alone.

Taking control of debt is a positive action

For many, bankruptcy is the only way that they can regain control of their finances. There is nothing wrong with doing this. Instead of thinking that you’re doing something wrong, focus on the fact that you recognized the financial problems you were having and took steps to address it. That’s the responsible thing to do, and that feels good.

They stop dealing with creditor harassment

The mere fact that filing for bankruptcy puts a near-immediate stop to phone calls, letters, emails and other payment demands from creditors can improve someone’s outlook on life and boost their mood.

When you realize that you need to file for bankruptcy, contact an attorney who’s familiar with this area of the law. They can help you examine your situation and make the right decision for your future.