Rockville Bankruptcy Law Blog

It is no secret that dealing with substantial amounts of debt can be a harrowing experience. For individuals in Maryland who are closing in on retirement, financial struggles could pose a significant threat to future plans. Those who are facing similar issues might find it advisable to speak with a consumer bankruptcy attorney for guidance on the potential risks of dealing with debts late in life and the available options with which to pursue relief.

According to a recent survey, more than 80 percent of workers who are closing in on retirement age are carrying some form of debt. Although their financial concerns may take numerous forms, the most common issues they face pertain to mortgages, auto loans and credit card bills. In addition to the stress involved with dealing with high amounts of debt, those who face significant monetary burdens could be less capable of saving for life after retirement.

Many companies in Maryland and elsewhere may attempt to provide consumers access to a variety of product brands, some of which could prove less profitable than others. When a business begins to experience significant financial issues, it may seek to regain financial stability by selling the rights to certain brands, but this might not always solve the issues. After reportedly experiencing similar hardships, the apparel company Nine West has filed a petition to pursue reorganization through bankruptcy.

According to reports, Nine West provides clients with access to a variety of brands of clothing and accessories. However, the company asserts that certain products have proved less profitable than others, and that substantial amounts of debt have left it in search of financial relief. By filing for Chapter 11 bankruptcy, the company is reportedly seeking to sell the rights to certain products and work back toward financial stability by focusing on its more successful products.

The recent advent of online shopping has forced a multitude of businesses to experience a significant drop in consumer traffic in brick and mortar stores. This has left many businesses in Maryland struggling to keep up with the competition, and the financial challenges involved in a reduction in sales can leave a company in need of monetary relief. After experiencing similar concerns, a popular cosmetic jewelry chain is reportedly forming a plan to pursue financial reorganization through Chapter 11 bankruptcy.

Much like many other mall-based stores, Claire's Stores Inc. has reportedly begun to experience the financial challenges that come with the recent decline of consumer traffic. In addition to a decrease in revenue, the company is also struggling to deal with the nearly $2 billion of debt it obtained when it was taken over by another entity. Although the company says it initially sought to overcome these issues by forming business arrangements to sell its products at other retailers, it is reportedly preparing to seek relief through Chapter 11 bankruptcy.

Many individuals in Maryland and elsewhere have experienced the financial struggles of dealing with substantial amounts of credit card debt. Whether for aid in times of emergency, or for assistance with everyday needs, many have turned to similar lines of credit for numerous reasons, but the relief provided is generally short-lived. Those who wish to seek a solution to financial issues might find it advisable to consider the benefits of consumer bankruptcy.

According to reports, consumer debts increased by more than $11 billion in the past year alone, bringing the total amount owed to just over $1 trillion. Officials assert that credit card debts are responsible for a significant portion of this increase. These reports suggest that the current state of the economy leads individuals to feel less hesitant to take on new debt, but that a similar mindset could lead many into financial troubles.