Dealing with financial problems may seem like a never-ending task for some overwhelmed individuals. Seeing debt continue to accumulate may give the illusion that the situation will only continue to get worse. However, South Carolina residents do have options for getting out from under substantial debt. Bankruptcy could be a route worth looking into that could give qualifying individuals a fresh financial start.
Such a case is currently taking place in another state. Reports stated that a chef and restaurant owner recently filed for Chapter 7 bankruptcy. It was reported that one of the man’s restaurants had closed earlier this year, and while some individuals suspected the closure was for renovations, the actual reason was that the man allegedly owed $25,000 in rent for the property.
Several other creditors were listed in the report, including business-related corporations and banks. The highest amount owed to one creditor was $406,600, and the lowest listed amount was $12,000. The man’s total liabilities were reported as being between $1 million and $10 million. It was also noted that the total number of creditors were over 100 but less than 200. His assets were totalled somewhere between $50,001 and $100,000
Because this man is facing considerably more debt than he has assets, filing for Chapter 7 was likely the best move for him. South Carolina residents in similar situations may wish to take this example and consider such debt relief options for themselves. Consulting with experienced bankruptcy attorneys could help interested parties better understand their options and how their financial situations could potentially be impacted by following this route.
Source: bizjournals.com, “Phila. Chef Luke Palladino files for Chapter 7 bankruptcy”, Kenneth Hilario and Alison Burdo, Sept. 9, 2016