These Issues Are Causing Many New Jersey Residents Debt

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The holidays are over, and you're well into the start of your plans for the new year. Then again, perhaps you're among others in New Jersey who keep meaning to sit down and review their New Year's resolutions but just can't seem to find time to do so. One of your goals this year might include improving financial stability. If you've been having a lot of financial problems, this particular goal might be a top priority for you.

You might take comfort in knowing that you're definitely not alone in your struggle. In fact, many New Jersey families are in financial crisis at this time. There are numerous issues that appear to be common causes of debt. You may be able to relate to one or more of them. No matter what has prompted your financial trouble, if you know what options are available, you can be proactive in finding a viable solution to your problem.

This issue at the top of most lists

Have you or someone in your household needed specialized medical care in recent years? If so, this might be one of the biggest causes of your debt. Many people in New Jersey and throughout the United States say that medical expenses are the main issue that has thrown their financial trains off their tracks.

If you have medical bills piling up and you do not have sufficient funds available to pay them, it's understandable that you might do what many others have done, which is pay medical bills by using a credit card. The problem here is that, if you're not able to pay off the balance on your card at the end of the payment cycle, debt can quickly increase and get out of hand.

Urgent needs often arise unexpectedly

Maybe you had a car break down and it was your only means of transportation. Perhaps, a water line broke in your home or your heater died, just when temperatures started getting colder in winter. Most people consider these urgent needs that can cause financial distress, especially if you live paycheck to paycheck.

Did you lose your job?

Another common cause of serious debt problems is sudden loss of income. If you showed up for work one day and your boss called into the office to say your services were no longer necessary, you might have immediately felt the financial strain of the situation when you tried to make ends meet at home. It can take weeks, even months, to find a new job.

In the meantime, you might need to use any money you have in a savings account to buy groceries or pay household bills. It costs money to put gasoline in your car, but you no doubt need to drive places to seek new employment. It's a situation that can transform a minor money problem into a full-blown financial crisis.

Think ahead and know where to seek support

You might have debt relief options available to you of which you are unaware. Discussing the issue with others who have gone through similar experiences can provide insight and ideas to help you determine a best course of action in your specific circumstances.

There are numerous types of bankruptcy that can not only help people get out of debt but can also help lay the groundwork for a stronger financial future. Most bankruptcy programs include eligibility requirements that you must satisfy before filing an application. That's why it's a good idea to speak with someone well-versed in bankruptcy regulations to determine which option might best fit your needs.