Due the economic tight, so much people decide to declare bankrupt. They have no ide to pay off the debt. The company where they works fire them. They become poor.
We should know what is the bankruptcy and how to avoid it. We can get benefit from there such as:
1. Careful to use money
People who know the bankrupts is bad for them will be careful to use money. We use the money when we need it. We do not want to overspending.
You should budget your money to save the money.
Count how much that you can stream in one month, compared with your spending. The spending should be less than income.
You are better to save your money in this era. We do not know what will happen next years. You may need so much money next years. Your boss might fire you and you will not get paycheck.
2. Careful to apply the loan
The debt is the main cause of bankruptcy; therefore, we should not add the debt again. We priritize to pay off the debt than spending useless items or stuff. The cost of debt is increasing and it can cripple your money easily. The interest rate won't to go down because the government will increase the interest rate to get the loan.
You will pay more to settle the debt due the growing increase. It will be worsen when you cannot pay the loan on time. You will pay the loan double than you owe.
3. Anticipate the bankrupt
After know the bankruptcy, you can make steps to anticipate the bankruptcy. You can make more money when you have no enough money. You can make thousands articles to generate thousands dollars. The blogger or wbesite owner seek out the articles. They want to generate money from adsense.
Why do not offers some service to your neighbors? You can cut the lawn or spray the lawn when the dreid season comes. Some dollars may be useful for you.
Prepares for bankrupt
When you cannot avoid bankrupt, you should face with Bankrupt. You can choice whther you fill chapter seven or Chapter Thirteen. Chapters seven means you need to sales property and belonging to satisfy your debt, while chapter thirteen means you should pay some debt but you do not have to pay some other debt. Most homewoner prefers chapter seven while, the unsecured debtor prefers chapther thirteen.