Virginia residents in the 25-to-34 age group have a high likelihood of struggling with debts. While some may assume that these millennials are mostly dealing with high student loan balances, credit card debts are more common. The 2018 Planning and Progress Study from Northwestern Mutual looked at the sources of debt for this demographic group and found that 24 percent of debts came from credit cards whereas only 16 percent resulted from student loans.
Virginia residents who are struggling to keep up with their debt payments could benefit from filing for bankruptcy. Mortgages, auto loans and credit card bills are among the types of debts that could be discharged. It is also possible to have rent, past due utility bills and medical bills taken care of in a bankruptcy case. However, there are many types of debts that either can't or are rarely reduced or eliminated in bankruptcy.
Many people in Virginia are facing a daily crisis and financial struggle with the weight of overwhelming debt that may seem impossible to pay back. As late fees, interest charges and other expenses accumulate, these people may be looking for a solution or a way out from this landscape of debt. Bankruptcy can offer an alternative financial path, but many people are hesitant to approach this decision because of their concern for the future of their credit report and financial lives.