According to statistics from The American Bankruptcy Institute, there were 16,517 total business and non-business bankruptcy filings in Virginia in 2020. When experiencing financial hardship, filing for bankruptcy may be a potential solution to remedy your financial situation. With so much misinformation out there, someone thinking about bankruptcy can easily make irreversible mistakes without detailed counsel or experienced representation.
If you have a federal student loan, the government is currently forgiving all loan payments, foregoing collections on defaulted loans, and applying a 0% interest rate dating back to March 13, 2020, due to the COVID-19 pandemic. The program is slated to run through September 30, 2021, but you may be wondering — are there other means to get relief from your student loan obligations? Programs do exist, but so do many misconceptions about what is and isn’t possible.
Nearly 11,000 Chapter 7 and 13 bankruptcies were filed in Virginia in 2020. Per capita, Virginia ranked 14th among all states in the number of bankruptcy filings. This means that by the end of 2020, almost 11,000 people were wondering how bankruptcy would affect the rest of their lives.
Are you thinking about filing for bankruptcy? If so, you will likely have done some research on the topic. Unfortunately, there are a number of myths out there surrounding bankruptcy that are not only untrue, but mislead people into thinking that bankruptcy isn’t a viable debt relief option.
According to statistics compiled for 2019, Virginia had a bankruptcy filing ratio of 2.7 persons per 1,000 residents, with a total of 23,071 filings that year.
According to data compiled by RealtyTrac, 1 in every 27,085 housing units in Virginia was foreclosed upon in December 2020. The rate for Fairfax County was 1 in every 12,945 units.
According to a report by the Consumer Financial Protection Bureau, more than one-in-four consumers (28%) have at least one debt in collections.
The year 2020 has brought with it many unsettling changes amid the threat of a global pandemic. In addition to health scares, many people have been forced out of work and a number of small businesses have been threatened with failure because of government shutdowns. Debts are piling up nationwide, and many people have been forced to consider filing for bankruptcy.
Small business is the backbone of America. In Virginia, there are approximately 725,000 small businesses comprising 99.5% of all businesses in the state. On their own, a small business closure may have serious consequences for the owner and employees.