PDA

View Full Version : Personal bankruptcies soar to all-time high


Steve
03-25-2006, 10:15 PM
CNN (http://money.cnn.com/2006/03/24/pf/personal_bankruptcies/index.htm) - Personal bankruptcies filed in the federal courts totaled 2,078,415 in 2005, up from 1,597,462 petitions filed in 2004, the office said in a statement on its Web site Friday.

It was the largest number of bankruptcy petitions ever filed in any 12-month period in the history of the federal courts, according to the office, which collects information for the federal judiciary.

That number is just incredible!
What is this saying about our society today?
Do you know anyone who filed for bankruptcy and how did that effect their lives?

tiedeman
03-25-2006, 10:27 PM
the main reason that they were up so high in 2005 though was because of the stricter bankruptcy laws that took effect in the 4th quarter of that year.

I believe it though. *Like I mentioned in my other post in regards to Wal Marts banks; people and their amount of large debts is amazing. *My debt is huge as well

My mother in law went through 2 bankruptcies, before I knew her. *It was mostly because of two failed marriages my wife said.

Steve
03-25-2006, 10:30 PM
Do you feel this is more of a problem of easy access to credit or more a societal problem where we as people can't live within our means or is it something else all together?

Can we learn anything from this? If you were to advise others on this topic, what would you tell them?

tiedeman
03-25-2006, 10:39 PM
For me, and my debt is was for a necessaity, but also it was because I had the available credit, so I decided to use it on stupid purchases that I not necessarily needed. I would say that probably 20% is from when my wife and I first got married (we needed that credit cards then bad), 50% is from the business, and 30% is stupid purchases that we did not need.

maelawncare
03-26-2006, 12:16 PM
yea, thats mainly cause of the credit cards. my mom hasnt had a job in 20 years and she gets credit cards everyday. #### my parents can barely pay their bills as it is!

I think 2006 that number will go dramticly down.

A friend of my familys filed last year. And their not any better off then they were before they filed.