More Bankruptcies by Woman then Men

By: Eduardo D. Fons, Esq.

More Bankruptcies by Women then men says Orlando Sentinel.

Women are seeking debt and credit counseling more than Men, according to Credit Counselors, as reported in a recent article in the Orlando Sentinel.

Part of the credit counseling may include debt consolidations plans, lump sum settlements, and possibly Bankruptcy. 

The Orlando Sentinel article reports that:

"Women top men by a wide margin in Florida when it comes to getting professional help for debt problems, according to new figures from some credit-counseling operations that have clients throughout the state.

From single mothers and divorcées to those who became family breadwinners when their husbands lost their jobs in the recession, women have outnumbered men in the credit-counseling line for much of the past decade, the agencies say. ...Many of the women we see are heads of household, trying to pay off debt, keep their heads above water, maintain the house, raise children and — oh, by the way, work, too — all at the same time," said Richard Schram, the agency's top executive. "That puts tremendous pressure on them."

That pressure, while apparently around for years, intensified during the 2007-09 recession, which wiped out 4 million jobs in the historically male construction industry alone. Such massive job losses among men created a new generation of female breadwinners, with all the accompanying financial stress.”

Statewide, more than 870,000 family households were led by single women in 2009, a 14.6 percent increase from 2000 and nearly three times the number of family households led by single men, according to the latest U.S. census data. With the economic instability that engulfed many households in late 2007 until now, household income decreased while expenses may have increased.”

Although Women may be more apt to confront the issues the household may have with debt control, under the Bankruptcy Code, all income coming into the household must be considered if one is deciding to file for protection under Chapter 7 or Chapter 13 of the Bankruptcy Code. 

For the Women led households, that means one income to consider if the spouse is unemployed, or the household consists of only one income grossing individual. Women and men dealing with debt issues may have to ultimately consider filing for protection under Chapter 7 or Chapter 13 of the Bankruptcy Code if debt and credit counseling outside Bankruptcy does not afford a viable solution.