The coronavirus crisis is unfolding all over the world. First China then Italy, where business is nearly shut down completely.Now in the United States we are feeling the effects of a shutdown sweeping across the nation.
The increase in bankruptcies here in the United States will depend on how everything unfolds with business shutdowns and more, so much of which is uncertain at this time.
Job loss is one of the greatest causes of bankruptcy. Job losses will likely lead to A lot of new bankruptcy filings over the next several months and maybe even longer. People who cannot work on premises and do not have work they can perform at home are at risk of job loss.
There is new legislation that might help some but not all individuals and businesses and that remains to be seen. Creditor willingness to work with people who cannot meet their financial obligations will also be a factor in determining the increase in bankruptcy. Job loss also leads to increased debt and inability to work, which can stall out the economy and lead to more bankruptcy
Economic uncertainty alone, of which there is much, leads to harm to the economy, which in turn can lead to increased bankruptcy.
Are You Considering Filing For Bankruptcy?
If you feel bankruptcy is the best option for your financial situation you need to speak with an experienced bankruptcy lawyer as soon as possible. Please contact us online or call our office directly at 888.348.2616 to schedule your free consultation.