When a couple has a baby, it is common to see the new mom posting pictures on social media and dad might be handing out cigars to friends and family to announce the happy event. When it comes to bankruptcy, these types of jovial reactions are probably not going to occur.
People considering bankruptcy feel alone and are not comfortable sharing their feelings. Because of this, people assume they are one of the few who have financial stress severe enough to warrant bankruptcy. However, bankruptcy has been a solution for people from all walks of life and income levels.
Bankruptcy reaches the full spectrum of the public. Both married and single people often file for bankruptcy. Age is also not a factor as seniors and young adults routinely choose bankruptcy. According to the Administrative Office of the US Courts, in 2016 there were 794,960 total filings for bankruptcy. Of those, 490,365 filed for Chapter 7 and 296,655 filed for Chapter 13. Chapter 11 and Chapter 12 files made up the rest of the total.
Nobody should feel alone when it comes to filing bankruptcy. If you are concerned that it might be other people and not someone like you who files for bankruptcy, consider these statistics of bankruptcy filers:
- 73 percent are employed or are self-employed
- 27 percent earn more than $30,000 a year
- 94 percent are high school graduates
- 54 percent graduated college or has some college education
Bankruptcy affects all socioeconomic classes and people of all ages. If you think bankruptcy is not for someone like you, you should realize that there is no such thing as a typical or an "average" bankruptcy filer. The actual landscape of people who file is very large and there is no need to feel out of place when it comes to bankruptcy.