Law Office of Gordon Mosley
Don’t let the shame of being in debt keep you from seeking relief
On Behalf of Law Office of Gordon Mosley

Most Americans are in debt. Some may only have what they consider good debt — such as a mortgage — but many have credit card and other financial obligations that make life tough. This is an issue that few people like to discuss with anyone because there is a sense of shame for letting one’s monetary situation get out of control. Being in debt is nothing to be ashamed of, and feelings of shame should not prevent you from seeking the relief you need.


According to a recently published article, shame over debt is the reason people sink further into debt. They end up not seeking help or make rash decisions that are more damaging than they are helpful.


Understand debt has a purpose


While it would be nice to pay for everything outright, debt has a purpose. It helps people achieve things that they want — like higher education or buying a home — it also helps people build credit, which can help them reach their financial goals down the line. Debts that invest in one’s future may be worth the risk.


Not all debt is equal, however


Some debt is better than others. Credit card debt, for example, is not something people view as an investment; it is just another bill they can’t pay in full at the end of the month. The same goes for car loans and other unsecured debts.


People with children have more debt


According to NerdWallet, people who have children have higher credit card balances than people who do not. Of those who do carry credit card balances, most believe it will take them over a decade to pay back what they owe. Kids are expensive; that is not news. Raising children is also stressful, and adding debt to the situation certainly doesn’t help.


Debt affects mental health


Researchers have been studying the effects of debt on mental health. They found that:


  • Most people in debt believe their mental health would improve if they were free from debt.
  • There is a strong link between debt and depression.
  • There is a strong link between debt and anxiety.
  • These feelings also contribute to a sense of shame about one’s situation and prevent people from seeking debt relief.


Bad things happen to good people


Not all debt is the result of needless overspending. Bad things happen to good people, such as job loss, illness or disability. It does not matter how you got into the financial position you currently find yourself; what matters now is figuring out what you are going to do about it. With help, you can better your situation and achieve the financial relief you desire.

Facing garnishment, lawsuits? Bankruptcy may be able to help.

By On Behalf of Law Office of Gordon Mosley • February 21, 2022
During the day, you may have the ability to keep your financial worries somewhat at bay by concentrating on other tasks. However, when the time comes to get in bed for the night, those thoughts that stayed at the edge of your mind all day may come flooding forward. How will you make your next credit card payment? When will the next creditor call? What can you do about your garnished wages? These concerns affect numerous people who must contend with overwhelming debt. No matter what led to your debt, you do have options for effectively addressing those liabilities. In particular, bankruptcy may act as a significant step toward a fresh financial start. However, you may wonder whether taking this action really suits your circumstances. Has action been taken against you? When you face overwhelming debt, you may also face letters and calls from creditors every day. Over time, you may have become adept at avoiding these attempts at contact or requested a stop to such actions. However, more significant actions may have been taken against you with which bankruptcy may be able to help. Two actions that may make you consider this debt relief option more seriously include: Wage garnishment: If creditors are directly garnishing wages from your paychecks in attempts to pay your outstanding balances, you already face serious financial trouble. You may need every penny you earn to make ends meet as it is, and when you cannot hold on to your wages, bankruptcy may be able to help stop garnishments. Lawsuits: When creditors feel that they cannot effectively get you to pay your balances on their own, they may sue you for payment. Lawsuits are serious matters that could cause you to face even more financial strife while also facing orders to pay your liabilities. Fortunately, bankruptcy could help stop judgments in such cases. Because these actions can have serious outcomes, taking steps to stop them may help you in the long run. Can you attempt other debt relief methods? If you are not yet facing wage garnishments or lawsuits, you may wonder whether you could first attempt other actions before bankruptcy. Certainly, creditor negotiation and credit counseling could act as possible avenues to try. Of course, not all creditors feel willing to negotiate, and you may still need to address your full balances. Additionally, you may want to remain wary of services which claim they can reduce your debt or help you become debt free as many of these claims turn into scams that cost unsuspecting individuals more money. Though it can be frightening to consider such a major action, exploring your bankruptcy options further may help you get your financial affairs in order and bring back your restful sleep.

Seeking debt relief does not make you a bad person

By On Behalf of Law Office of Gordon Mosley • February 21, 2022
No matter what you do, you just can’t seem to get your head above water financially. In the last little while you’ve experienced loss of income, or you’ve had unexpected emergency expenses that you had to put on credit cards, or you or a loved one may have suffered a serious medical event, costing your family a small fortune. Maybe it was a combination of these or other hardships. Now you need help, but feel you are a bad person for seeking debt relief. There is and always has been a certain stigma surrounding bankruptcy in the United States. The truth of the matter is, Texas residents who need financial help are not bad people and no one should make them feel bad for asking for help. It is their right to pursue bankruptcy if it is what will best serve their interests. Stigmas attached to bankruptcy There are three types of stigmas often associated with bankruptcy. These are: Financial Emotional Social Emotional and social stigmas are often combined. They refer to how you see yourself after pursing a bankruptcy filing and how you believe people view you. People are afraid to let others down or do not want others to know they are struggling. When drowning in debt, the only thing that should concern you is fixing the situation. It shouldn’t matter how you do it and it really is no concern of anybody else’s. You do what will best serve you. The financial stigma sounds bad, but it can be a good motivator. Will your credit score go down if you file for bankruptcy? Yes. Will it stay that way forever? Will you be financially doomed for the rest of your life for seeking relief? No. While credit recovery after bankruptcy can take time, it is possible to do if you take full advantage of the bankruptcy filing and are cautious in your future financial decisions. Don’t let the stigmas stop you At the end of the day, you have to do what is best for you and your family. That may involve pursuing a bankruptcy filing and that is okay — it does not make you a bad person. Don’t let the stigmas stop you from seeking the relief you need. If you are not sure if it is the best course of action, you can seek legal counsel on the matter and then go from there.
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