"Millennials," "Echo Boomers," "The Net Generation" and "Generation Y" account for over 50 million Americans many of them in their late twenties and either graduating college or taking their first tentative steps into the working world. For those members of this generation who are entering the working world many have been met with a rude awakening. Large debt loads and the inability to secure employment with a living wage has caused some analysts to predict that this generation will be less financially well-off than their parents.
And the "Millennials," which many prefer to call themselves are often feeling distraught after entering a world which they feel has given them the short end of the stick. The reality that many are finding is that they are unable to secure employment that will enable them to pay their debts and maintain a middle-class lifestyle. For many "Millennials" reducing their debt may be the only way they can climb out of the hole many are finding themselves even a few years after graduating from college. Fortunately for "Millennials" filing for bankruptcy may give them the financial flexibility they need to at least be financial on par with their parents.
Let's take a look at some of the ways bankruptcy may benefit the "Millennial" generation:
- Chapter 7 bankruptcy will discharge most unsecured debt. Many members of the "Millennial" generation incurred massive amounts of credit card debt while in college and even the oldest of this generation find themselves still struggling with that debt.
- Chapter 13 bankruptcy will give indebted members of this generation the time to repay debt and may even discharge some of that debt after a 3 to 5 year period. The benefit of Chapter 13 bankruptcy for "Millennials" is that by stretching out debt repayment over a long period of time the amount of cash debtors will need to pay out each month is reduced.
- By discharging some or all of a debtor's unsecured debt, both Chapter 7 and Chapter 13 bankruptcy will give debtors of the "Millennial" generation the opportunity to save and buy a home quicker than if they had not filed for bankruptcy.