As the economy continues to slide into the great abyss, many are having to consider filing for bankruptcy. Last year in 2010, there were 1.5 million bankruptcies filed. Since the real estate meltdown in 2007, bankruptcy rates continue to rise every year, with 2011 expected to be another record year. There are many reasons for the large number of bankruptcy filings that we have seen in the last few years, but as the number of bankruptcies rise there is an increase in unusual reasons also. Ever since the September 11th terrorist attacks, charities have been using different types of marketing to fund raise. Nowadays, just about every charity is accepting credit cards for donations or to sell items to people for profit. By accepting credit the donors feel good about themselves until the credit card bill comes in and they have remorse realizing that they bought unnecessary junk from the charity with the idea of helping someone. Being caught up in the moment, when people charge they tend to spend more and don't realize they might be putting themselves in a precarious situation at the end of the month.
Illinois Bankruptcy Lawyer, San Diego Bankruptcy Attorneys, Kansas Bankruptcy Lawyer,
With the ever-growing large number of nonprofits, there is a trend in making consumer purchases a charitable act when bought from one of these nonprofit organizations. Recently, there have been all kinds of marketing campaigns enticing consumers to spend money they don't have. These campaigns usually offer goods to the consumer with the promise of 25% of the profit being given to the charity. Who wouldn't go for that, buy a new pair shoes that you don't need to give the charity a bonus. There are many legitimate charities that are using these marketing techniques for fundraising. What people don't understand is usually it is only a small amount of the profit that ends up in the hands of the people that need it.
With a large number of people filing bankruptcy, bankruptcy lawyers have been seeing many cases of embedded giving by their clients. Schools have been a big one chasing these dollars as their budget continues to tighten because of cutbacks. There isn't a day that goes by that one of the kids doesn't come home with one of these enticing offers. Many people feel obligated because it's for the children so even though they know they can afford it, they just charge it. Using these high-pressure tactics causes people to overspend which ends up in filing bankruptcy. These marketing campaigns go both ways. Even big corporations have jumped on the bandwagon, offering if you buy now they will donate X. amount of dollars to your favorite charity. With the nonprofits now having merchant accounts to accept credit cards, there has been a large change in the way they fundraise. There are now auctions for high dollar items donated by big corporations so they can get that write off and the charity will get the proceeds. The only problem with this scenario is many of these events are high-pressure and people get caught up in the moment and feel they have to help.
The bottom line is if you can't afford it don't buy it. If you have overcharged there is a way out. Depending on the amount of debt, filing bankruptcy is always an option. Consult with a bankruptcy lawyer and discuss your personal situation to see if it would be beneficial for you. If bankruptcy is in your future, learn from your mistakes and don't get caught up in one of these high-pressure situations.
Is Bankruptcy Right For You? Talk to Bankruptcy Attorneys Free and Confidential. Licensed bankruptcy attorneys are available. Attorneys will call you to discuss your case for free. Find out if bankruptcy is right for your situation.
Rating of Bankruptcy Attorney Dallas
Get Online Application at online Bankruptcy Lawyer.
0 comments:
Post a Comment