While our nation’s economy has largely bounced back from the last recession, the majority of Americans are still living paycheck to paycheck and are struggling to save money for emergencies.
An eye-opening study published by Bankrate.com has revealed that roughly 63 percent of Americans are one unexpected bill away from a major financial disaster. Two out of three people claim that they do not have enough savings set aside to deal with a bill of $500 or more. In the absence of savings, the survey takers indicated that they would have to cut back on spending in other areas in order to make ends meet, or would have to rely on credit cards or reach out to family members for help.
These survey results reveal a stark contrast between the rate at which the economy has improved and the much slower rate of recovery among American families. With rising healthcare, food, education, and housing costs, the sad reality is that most Americans are not financially secure.
While we all of course hope that we won’t be faced with an emergency, it is important to keep in mind that unexpected financial shocks are more common than many people realize. Six out of every 10 Americans have experienced major money trouble in the past year. Major car repairs and lost income top the list for the most common financial stressors.
Visit CNN online to read more about this survey.
Speak to a Los Angeles Attorney About Your Debt Troubles
For people without the comfort of a financial safety net, an unexpected bill can be catastrophic. Being unable to pay for a needed car repair, for instance, could severely hinder a person’s ability to take their children to school or get to work, or prevent them from being able to make their mortgage payments on time, putting them at risk of foreclosure. Relying on credit for these types of large purchases without the means to pay off the balance in a timely manner can quickly lead to an overwhelming financial situation.
With so much depending on your financial health, now is the time to make dealing with old debt a part of your New Year’s resolution. Seek the counsel of a trusted Los Angeles bankruptcy attorney at Wadhwani & Shanfeld to help you determine what your options are for financial relief. Our goal is to restore you to a place of financial freedom.
Request a free case evaluation with an attorney by calling (800) 996-9932.