Bankruptcy is designed to help a person start over after a financial devastation, but the reality is that many people who file bankruptcy often feel as if it is a moral failure. Emotions can range from embarrassment to depression. Some even resort to suicide rather than face a bankruptcy, but there are ways to cope with the fear and shame. One key thing to remember is that the majority of bankruptcies in the United States are due to a serious illness, a divorce or a loss of a job.

What can you do to manage your stress and emotions? 

  • Accept your feelings. Pushing feelings of sadness, anger and guilt to the side will not make them go away. The negative feelings will go away in time.
  • Find people you can trust and talk to them about your feelings.
  • Build a team of people to help you through the bankruptcy.
  • Have confidence in your decision. Sometimes, bankruptcy is the best option for your situation. If you explored other options and did not find the answer, a bankruptcy might just help you move forward without the stress of your current situation. 

Get the right information about bankruptcy. Do not rely on a friend or family member, but talk to someone who knows the bankruptcy code. Having the answers you need can help you find the confidence that you are making the best decision for your situation. Remember, not all loans are dischargeable with a bankruptcy, and you want to make sure that the bankruptcy is going to solve your problems. 

Bankruptcy is a serious decision, and there is an emotional cost involved. You might benefit by speaking to a bankruptcy lawyer about your financial problems to know all your options and find the best possible outcome. Taking the steps to deal with your sinking finances is difficult, but your problems will only get worse if you delay, causing more stress in your personal and family life.