Bloomington Bankruptcy Lawyers Know: For Low and Middle Income Households, Basic Expenses Go on Credit

October 28, 2012 10:44 pm Published by

The report came out this year, but I’d known the trends the numbers would show for a long, long time. After providing Indiana bankruptcy help to more than 32,000 different people, I didn’t need any proof for what the D’mos 2012 National Survey on Credit Card Debt of Low-and-Middle Income Households was saying:

“Low and middle income households continue to rely on their credit cards
                   to pay for basic living expenses.”


In fact, right there on the Zuckerberg Bankruptcy law Office’s website, under “Warning Signs, #5 is “Are you using credit cards to pay for necessities like groceries…because you don’t have the Cash?”


When the D’mos report came out in Consumer Bankruptcy News, several of the good Indiana bankruptcy attorneys who work with me around the state had something to say about their own experiences:

  • One Bloomington bankruptcy lawyer agreed that many clients are struggling to afford an education so they can get better jobs, and that many of those end up needing student loan debt help.
  • One Columbus bankruptcy lawyer reports seeing households using credit cards to pay life insurance and health insurance premiums.
  • A Richmond attorney for bankruptcy had even sadder news to report, with many straining to live on unemployment benefits.
  • In Anderson, one lawyer for bankruptcy felt that out-of-pocket medical expenses were often being paid with credit cards.

As an Indianapolis debt consolidation lawyer and bankruptcy attorney myself,  those numbers in the D’mos study simply confirmed what I’d already suspected”: Credit card debt is down, but not for the people who are having trouble coping with job loss and medical expenses.

Just two of the more frightening numbers D’mos points out for 2012:

  • 47% of all indebted households said out-of-pocket medical expenses contributed to their credit card debt.
  • Of those coping with job loss, the number was 86!

Think about it, I tell people: Do you really want to spend the best years of your life in debt?  And what Bankruptcy in Indiana readers can ask themselves is:

Knowing what you know about your own situation, would you lend yourself more money? 

Isn’t it time to find out what your options are?




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This post was written by Mark Zuckerberg

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