How to Deal with Bankruptcy

No matter what circumstances ultimately led to filing bankruptcy, both the practical and the emotional impacts on the debtor will be enormous. Learning how to deal with bankruptcy isn’t easy. But confronting the emotional and psychological issues surrounding bankruptcy and reaching an understanding and acceptance of the situation is essential to rebuilding and maintaining a successful financial life.

Understanding Loss of Interpersonal Power

Filing bankruptcy can, without a doubt, stir up many negative emotions. A debtor’s sense of self-worth is often closely tied to their financial circumstances, particularly among business owners. Loss of money can be experienced as a loss of identity, self-esteem, and confidence. We live in a society in which image is seemingly bought through possessions, so money can be viewed as a powerful currency not only in a purely economic sense but also in relationships. A real, or at least perceived, loss of interpersonal power can occur when bankruptcy is filed.

Understanding these emotions can help disentangle the practical realities of financial difficulties from the potentially negative or even destructive emotional response to bankruptcy.

Understanding Loss of Sense of Security

At times of significant loss, people tend to feel that their entire foundation has been shaken and that their most fundamental sense of security has been disrupted. They question their trust in themselves, in others and in the world at large. Although it may be natural for many to bury these frightening emotions, bringing core insecurities to a conscious level can actually reduce fear and the feeling of being out of control, which enables individuals to start tackling their situations constructively.

Speaking with a Bankruptcy Lawyer

Objectively, bankruptcy might initially seem negative, but it has been the pathway to a fresh financial start for countless people and businesses over the years. In addition, the counsel of a seasoned bankruptcy attorney at Minnillo Law Group Co., LPA in Cincinnati can see a debtor through the tough times and guide them to a brighter financial future.

DISCLAIMER: This site and any information contained herein are intended for informational purposes only and should not be construed as legal advice. Seek competent legal counsel for advice on any legal matter.