If you're considering filing for bankruptcy, you're not alone. Every year, nearly 795,000 people file for bankruptcy in the United States. While unmanageable debt is the cause of all of these filings, there are different reasons why this situation arises. Below, learn more about three of the most common ones.

Why Do People File for Bankruptcy in the U.S.?

1. Medical Bills

Health care in America is expensive. Even insurance rarely covers 100% of medical costs, and if you or a loved one has a serious or long-term health issue, those expenses can add up quickly and substantially. If you need to take unpaid time off work for recovery or to support someone else's recovery, bills in the family can mount further.

These factors are why recent studies have found that medical bills account for more than 66% of all bankruptcy filings in the country.

2. Job Loss

When a person loses their main or sole source of income, they may not have the resources to pay their bills. This is only made more difficult by the fact that many jobs, especially those that pay lower wages, don't offer any type of severance package.

Research has found that most Americans don't have the backup funds to cover a $1,000 emergency. As a result, missing even one paycheck can quickly set many folks on the road to financial hardship.

3. Credit Card Debt

Credit cards are convenient, but when you use them every day, debt can escalate. They also make it easy to overspend thinking you have the funds to cover your purchases. Interest rates and finance charges are often considerable, saddling cardholders with debts that take years to pay off.

If you’re having difficulty keeping up with your bills, filing for bankruptcy might be a solution. John D. Wieser, Esq., PC has been representing Chapter 7 and Chapter 13 bankruptcy claims in the Rochester, NY, area since 2001. He’ll evaluate the type of debt you face to determine which bankruptcy option will best discharge it. Visit his website to learn more about bankruptcy, or call (585) 328-0660 to schedule a consultation.