The term “bankruptcy” is not the life sentence it used to be, but it often fills us with dread when it is uttered.
Working in this industry, we understand the intimidation and worry concerning bankruptcy, and how difficult it is to watch those we care about to undertake the process. Here, we will discuss the various ways you can help your loved ones as they navigate insolvency and all it entails.
Be Open and Judgement Free
One reason people hide bankruptcy from friends and family is the embarrassment. The fear of judgement not only prevents them from seeking professional bankruptcy support but emotional support from loved ones. If you know somebody who is having a difficult time financially, leave your judgement at the door.
It is easy to cast judgement on those seeking bankruptcy support, but the truth is that there are many reasons bankruptcy becomes a necessity. Job loss, unforeseen circumstances, life changes, medical reasons, and various other occurrences cause bills to build up, payments to be missed, and funds to get tight. If you have a loved one who is considering bankruptcy, be there to listen.
Too often, those encumbered by financial burden feel alone in their struggle to overcome debt. This causes them to freeze up rather than taking action. A great way to offer bankruptcy support is to encourage loved ones to continue working toward debt resolution.
Debt will never disappear on its own, whether we look the other way or stare it clear in the face. It is always better to move forward. Getting out of debt is possible, and it’s essential to make sure they believe that.
And there will be plenty of action for them to take! From seeking aid from a finance management team to consolidating debt to working with a bankruptcy trustee. The first step is often the most difficult, but when people feel encouraged and supported, they are more likely to ask for the help they need.
Too often, our plights are met by mountains of unnecessary comments and advice when all we need is a shoulder to lean on and an ear to listen. If you know somebody who is struggling with financial debt, you can help by just being there.
Offer your uninterrupted companionship and listen to all the stress and fears your loved one is going through without comment. If asked what you think, you should offer some words of encouragement, but ladling negative opinions on top of an already negative situation is a recipe for disaster.
Find the Positives in the Negative
Filing for bankruptcy is never something we plan for in life. However, it is sometimes needed to resolve financial turmoil with no other solution. Rather than observing bankruptcy for the negative aspects it possesses, consider the positive. These include:
- There is a sudden potential to overcome overwhelming debt
- Once bankruptcy is declared, debtors stop calling
- You may avoid wage garnishment
- Bankruptcy in Canada is removed from your credit report after 6-years
- There is ongoing support from bankruptcy professionals
Helping loved ones see these pros over the long list of cons is an excellent way to provide bankruptcy support and boost morale.
Offer Your Help
The help we provide our friends and family during bankruptcy does not need to be financial support. Instead, offer emotional support or help to navigate the process. For example, if you have ever been through bankruptcy yourself, you can help a loved one by walking them through the process step by step.
Other ways to assist may be in stopping by the post office to help mail a letter, babysitting so your friend or family member can meet with their bankruptcy trustee, and other small acts which add up to a lot of bankruptcy support your loved one will be thankful to receive.
Whether you can help or not, the simple act of letting your loved one know you are there for them can be the difference in a positive bankruptcy experience and a difficult one. Bankruptcy is hard enough without worrying that nobody is on your side.
Spend Less Together
Spending time with a loved one who is experiencing a financial crisis does not need to be complicated. It may even help you curb some unnecessary spending and save money. By changing your habits together, you will encourage your loved one to spend less and stress less during bankruptcy.
Spending time with someone you care about does not need to be expensive. Make a few changes — like eating at home instead of at a restaurant — can help your friend save in a significant way. All those little expenditures add up over time. Remember, a good conversation is free, and there is nothing like a walk in the park to facilitate a great chat.
Put them in Contact with Professional Bankruptcy Support
Finally, a foolproof bankruptcy support method is to help your loved one find the right Licensed Insolvency Trustee for them. If your friend or family member is feeling a bit shy or embarrassed about the process, you can help by reaching out and giving them information about the local professionals in the area.
As an authority in bankruptcy, consumer proposals, and insolvency here in Toronto, Kevin Thatcher & Associates, Ltd. is always happy to answer questions and help however we can. We strive to provide the highest quality services to our friends and neighbours in Ontario. Our job is not only to help you navigate bankruptcy but ensure you reach a positive conclusion when the process is over.
For more information on how to support your loved ones through bankruptcy, call Kevin Thatcher & Associates at 1-866-719-8547 or contact us here.