Although the number of people filing for bankruptcies was down in 2012, according to a recent report in the Huffington Post, the numbers are still enormous. It is leaving the entire nation reeling in shock over the sheer amount of people struggling to keep their heads above water in a time of low employment, high debt and the number of people filing for bankruptcy still at record highs. Into the middle of this crisis, the Occupy Wall Street folks have offered a possible hand up to many. The question is; does it really have any impact on the middle class the organization says it represents?
Two Sides to the Coin
At first glance, especially if you look at how the organization explains this, it sounds like a good idea. I have to applaud the intent here, to help millions of dollars of personal debt be erased. It also has really put into the forefront the behind the scenes workings of our banking industry, particularly when it comes to personal debt. Here is how Occupy Wall Street explains how Rolling Jubilee works:
Of course, like anything there are several ways to look at what they are doing here, and if this will actually accomplish anything when it comes to the crushing amount of personal debt and the sheer volume of people who are filing for bankruptcy every day.
US News did a good overview of what they think this kind of action will accomplish. There is a certain amount of skepticism about the ability of this debt forgiveness program to have any impact on debt. But they do admit that the main purpose is really to bring the whole debt collection business into high relief. On the other hand, one of Forbes regular contributors takes the whole notion to task. The taxation aspects of what the Rolling Jubilee is doing are looked at closely. There may be some consequences to this debt relief that will come back to bite many from behind.
Defining the Best Solution to Filing for Bankruptcy
In the end, I would have to say that although I can applaud the intent of what is happening because of movements like this, it is hard to say how much significance this will have to the average person filing for bankruptcy in Florida or any other part of the country. For those that see that gift-wrapped personal debt forgiven, it will be an unexpected bounty that could make the difference on whether they must file for bankruptcy, walk away from their home or any of the many other personal tragedies that many face today.
But for many, the best solution is to get together with a knowledgeable bankruptcy lawyer and see as quickly as you can what you situation requires. While none of us like to admit that our debt has grown so large that filing for bankruptcy may be the best solution, it is a better one than hoping you will win the Rolling Jubilee jackpot.