Stigma is a small word that has a big influence on many of us. There could be many aspects of bankruptcy that might trouble an individual and not let him/her opt for bankruptcy no matter how critical the situation gets. Some of the stigma associated with bankruptcy that you have in your mind might be true also, but it is important to identify some of the stigmas that are not so true and are overrated. This analysis helps in making a sound decision after analyzing the right facts. Enlighten yourself about bankruptcy and its related aspects on https://www.recoverylawgroup.com/bankruptcy/.
Different types of stigma
To break down stigma and analyze whether it has some base or not, we can distinguish different types of stigma. The types and their analysis can be listed as follows-
- Social stigma
There is a feeling of inferiority and shame in the minds of people who want to consider bankruptcy but fear the social stigma. This can be regarded as a fear of losing importance or acceptance in the society or facing humiliation because of bankruptcy in the future. However, the social stigma depends on the thought process of a bankruptcy filer. The fact of the matter is, there has been an untoward situation and what has happened has happened and now it is time to start afresh and ensure the same isn’t repeated.
However, it isn’t easy as said. It requires strong determination and the ability to face the world after a debacle of bankruptcy especially if you had a very comfortable life just before it. However, avoiding bankruptcy due to the social or emotional stigma might further drown you into stress, trauma, and uncontrollable situations that might cause more damage to your image than bankruptcy. Even though 10% of bankruptcy filers felt extremely difficult to overcome this social stigma, they were eventually happy to release that burden and start afresh. Depending on how dire your financial situation is, if the need be, consider breaking the social stigma and avail the benefits of bankruptcy to safeguard yourself from unnecessary trauma and pain.
- Financial Stigma
The financial stigma is a much more practical assessment of the impact bankruptcy might have on your financial situation. If it is not guided by general misconceptions or myths circulated, it can be a really viable source to make a sound decision. The analysis of what impact the bankruptcy can have on your credit score, will it help in making your financial situation better, what kind of debts do I have, are they going to be discharged, and what do I have to do to retain my assets, do I need a new loan soon, etc., are some of the questions one might ask themselves before locking in bankruptcy.
However, there are certain misconceptions that you can’t access credit for years after bankruptcy, your credit score remains low for many-many years due to bankruptcy, and these are certainly not true. The credit score does take a beating and the credit which you may get access to immediately after bankruptcy might have nasty terms. But eventually with time if proper methods are used, it can be corrected over a period of 2-3 years. It is all about starting fresh and ensuring the same mistakes are not repeated with bankruptcy.
If you are dealing with any of the stigmas, why don’t just dial 888-297-6203 and take a solution to your stigma problems from the best attorneys across Los Angeles & Dallas, TX instantaneously.