Bankruptcy is often thought of as something for individuals with little income who have gotten themselves in debt, on the other end of the spectrum, corporations trying to navigate the twists and turns of the economy. However, there is another category of bankruptcy filers that has been increasing in recent years – Millennials. There are several reasons why these younger people are filing for bankruptcy, including the following:
- High levels of spending
- Excessive debts
- Unemployment or underemployment
- Lack of savings
A lot of these factors impact Millennials more than they have historically impacted others in the past. With costs soaring – particularly in the realm of education – Millennials fall into patterns of high spending without necessarily making frivolous or extravagant purchases.
Given the higher prices of even basic necessities such as housing in cities, Millennials are accumulating a lot of debt, particularly when it comes to student loans and credit cards. As a result, Millennials are drowning in debt before they even enter the workforce.
The combination of higher prices and increased debt levels is further complicated by the unemployment or underemployment epidemic. While many college graduates are still able to find a job, they sometimes have to wait years before they get a viable offer.
As a result, Millennials resort to underpaying positions or unpaid positions or are left entirely without options. During that time, the debts from their college days still exist and the expenses of life are still piling up.
Given all these factors, Millennials often find it impossible to get by even after they have finally found employment. In order to free up funds to pay for housing and student loans, they may turn to bankruptcy to help wipe out some of their other debts. This is only one of many reasons why Millennials are filing for bankruptcy more frequently in recent years.
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Bankruptcy lawyer Michael Alan Siddons is highly experienced in bankruptcy law and can help you fully understand your options and guide you through your options. Our office is experienced with Chapter 7 bankruptcy, Chapter 13 bankruptcy, Chapter 11 bankruptcy, as well as other debt relief options. We can evaluate your case and advise you of the best course of action for you. If you need help in Maryland, New Jersey, or Pennsylvania, please call the Law Office of Michael Alan Siddons to discuss how we can assist you today.