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Why You Should Not Feel Bad About Filing For Bankruptcy

by | Mar 3, 2021 | Firm News

One of the main reasons clients are hesitant to file for bankruptcy is that they erroneously believe that they should be ashamed or embarrassed for doing so. This is a needless waste of worry and energy, my friends. There is nothing shameful in making the financial decision to file bankruptcy. In fact, you may have been left with no other choice and are doing the best thing to improve your financial picture in the future.

I have had clients break down in my office and believe that they are signing their own death warrant because they are filing for bankruptcy. They have misguided beliefs and illusions that they should be able to pick themselves up by the bootstraps and march into the line of fire and pay off their debts, come what may.

Nine out of ten times, it is these same people who tell me after the process is over that it was the best decision that they every made and has alleviated tremendous stress and anxiety in their life. In fact, many of these people report feeling better and having a more positive attitude moving forward and wish that they would have filed sooner!

The only reason that you would have shame or embarrassment about filing for bankruptcy is that you have decided to feel shame or embarrassment about the process. Your thoughts and beliefs are controlling your attitude about the process – not the bankruptcy process itself.

“But I am a failure if I have a bankruptcy filing on my record.” – In reality, most of the people who darken my doorstep here at the office have a credit score that may never improve unless they file for bankruptcy. Either that, or they have so much debt that they will be making minimum payments for the rest of their lives.

“Only losers file for bankruptcy.” – Well, then you are in good company. Here is a list of some famous people who have also filed for bankruptcy: Dave Ramsey, Walt Disney, Donald Trump, Larry King, Burt Reynolds, Wayne Newton, Abraham Lincoln, Henry Ford, J.C. Penney, and Mark Twain. These “losers” have gone on to become billionaires and change the course of history.

As a matter of fact, it has been my experience that the people who have actually hit rock bottom are the ones who have the strength and perseverance to manifest the changes that need to be made in their lives and to go on to experience the peace and serenity that we all strive to have in life.