Whether your bankruptcy was voluntary or not, the emotional impact of this event can be tremendous. One of the most important steps in building and maintaining financial success is understanding and working to resolve the emotional issues surrounding bankruptcy.
Our society places a high value on image, and equates financial success with success in life. Filing for bankruptcy can raise many negative emotions and harm your sense of identity and self-worth. Money can affect our selves and our relationships, and bankruptcy can challenge the way we view ourselves and deal with others.
In order to cope with these emotions and work constructively, work towards the following goals:
- Allow your improved finances to increase your sense of control.
- Learn from your experiences, and take steps to secure your financial future.
- Do not value yourself solely in material terms.
- Build a financial safety net to prevent an uncertain future from derailing your progress.
- Recognize any feelings of loss, anger, shame, or depression. You must acknowledge these feelings in order to move forward.
- Do not punish yourself. Remember that your bankruptcy, when handled properly, is a positive step towards improving your situation.
Many people feel utterly insecure during times of loss. They lose trust in themselves and others. It may seem natural to hide these emotions, but consciously recognizing your emotions can help to prevent fear and regain control.
The bottom line is that we need bankruptcy to keep the world moving. If we didn't have bankruptcy relief, those who owe a lot of money would move to the cash economy, avoiding paying taxes on their income and placing themselves at greater risk of harm. We as a society want people to prosper and take risk, when that risk doesn't work out, the bankruptcy code is a balance between creditor's rights to be paid and a person's ability to start over and try again.
If you would like to schedule a initial consultation contact an Iowa bankruptcy attorney, representing clients in Independance, Iowa at the Dillon Law P.C. Give us a call at (563) 578-1850 or complete our inquiry form.