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Christmas credit can lead to bankruptcy in the new year

Seasons greetings and all that corporate nonsense, at least they are until the bills start rolling in over the New Year. It has become commonplace to see most Americans overspend during the holiday season and this year was no different. It’s hard not to when we’re bombarded with commercials on TV, newspapers and radio to share the amazing deals that aren’t available at any other time of the year. Corporate America does a good job of enticing Americans to buy things they can’t afford. If it weren’t for the credit cards, they wouldn’t have any games to play. Most Americans these days are broke or close to being broke. If all of your creditors had to be paid today, almost all of them would declare bankruptcy.

Since the economic recession of 2007, the US has not seen any type of recovery that the mainstream media continues to report. The numbers just don’t add up. The Fed continues to print $85 billion a month with quantitative easing to keep interest rates for American businesses at 0%. Main St., America is not benefiting from any of these Federal Reserve policies, only the big banks and financial institutions. The rich get rich and the poor prepare to file for bankruptcy. It has become a greater divide between rich and poor with the middle class almost completely evaporating into thin air. Jobs leave and don’t come back. The real estate market has seen a boost recently, but when you look at the actual numbers with first-time buyers and people financing their homes, you’ll see that the majority of homes sold were to investors and cash buyers.

A recent study came out saying that every American is three weeks away from filing for bankruptcy. The way they arrived at this statistic is by looking at average debt ratios and the cost of living. The average American has $16,000 in credit card debt and only makes $35,000 a year. Just add in his living expenses and this person is three weeks away from filing for bankruptcy. It’s sad, but it makes sense. What happened to the old days when it was more about the idea than the cost of a gift? People used to spend time searching for the perfect gift that would be within their budget and that would make their family member excited on Christmas morning. Now it’s all about cubic dollars, if it doesn’t cost much it can’t be good, at least that’s what corporate America wants you to believe. And that’s why many Americans will call on a bankruptcy attorney again as a New Year’s resolution. I think people in this situation shouldn’t feel bad about filing for bankruptcy. In today’s media driven world, it’s almost impossible not to get sucked into the buy now pay later lifestyle. There is also blame for these creditors. I’m not saying people shouldn’t pay their bills, but they’re not the only ones responsible for the debt situation they’ve gotten themselves into. As the government continues to crack down on legislation that benefits big banks and corporations, people need to take advantage of our bankruptcy laws before they are no longer available to them.

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