Falling behind on bills can feel overwhelming, especially when there’s more going out than coming in. Whether it’s due to job loss, medical issues, or unexpected expenses, financial trouble can happen to anyone. If you live in Michigan and you’re struggling to stay current, there are actions you can take to reclaim control and set yourself up for success. Our Warren, MI bankruptcy lawyer can walk you through different paths based on your financial goals and help you weigh the pros and cons.
Can’t Pay Your Bills? Take These Steps
- Take Inventory Of Your Income And Expenses. Start by reviewing how much you bring in each month versus how much you owe. Make a list of your monthly bills, including rent or mortgage, utilities, food, insurance, and debt payments. This gives you a clear picture of your financial situation and helps identify where adjustments might be possible.
- Prioritize The Essentials. Focus on paying for necessities first—housing, food, utilities, and transportation. These are the most important areas to keep stable while you work on a broader financial plan. Credit card bills or unsecured debts, while still important, should come after these essentials.
- Contact Your Creditors. Don’t wait for late notices to pile up. Call your lenders or service providers and let them know your situation. Many companies are willing to set up payment plans or temporarily reduce your payments. This won’t erase the debt, but it may give you some breathing room.
- Stop Unnecessary Spending. This may mean pausing subscription services, eating out less, or putting off large purchases. Small savings in multiple areas can add up quickly. Even temporary cutbacks can help you stay current on your most critical expenses.
- Look Into Community Resources. Michigan has several programs that provide support for those facing financial hardship. Depending on your income and situation, you may qualify for assistance with utilities, food, or rent. Local nonprofits and community centers can often point you in the right direction.
- Consider A Second Source Of Income. This isn’t always possible, but if you can take on temporary work or side jobs, even a few extra hours a week can make a difference. Gig work, freelance tasks, or part-time jobs can help bridge the gap while you get back on track.
- Don’t Ignore The Problem. Avoiding bills or letting unopened mail pile up often makes things worse. Stay engaged, even if it’s uncomfortable. The sooner you address the issue, the more options you may have.
- Review Your Credit Report. Check for errors or outdated information that could be affecting your score or increasing your interest rates. You can get free credit reports through AnnualCreditReport.com. Identifying mistakes may help improve your financial standing over time.
- Learn About Debt Relief Options. If your debt is more than you can realistically repay, options like debt consolidation, settlement, or bankruptcy might be worth exploring.
- Talk To A Legal Professional. When your bills are more than you can handle and creditors are calling, it may be time to get legal guidance from a trusted attorney in your area.
If you’re feeling overwhelmed, we’re here to help. At Gudeman & Associates, P.C., we work with individuals and businesses across Michigan to identify practical steps for debt relief, including bankruptcy and other alternatives. Contact us today for a free consultation and start building a plan that works for you.
