Readers in southern California may be interested to learn about the bankruptcy history of the new City Manager of another town here. The man began his new job recently after going through both the interview and confirmation processes. As a part of that inquiry, he discussed his two personal bankruptcy filings; the most recent that occurred in 2011.
According to reports on the new City Manager, the 2011 personal bankruptcy filing occurred in February of last year. At that time, the man asserted to the court that he had a total of $620,000 in debts and liabilities. A part of those liabilities included mortgages on a home that he eventually lost in the foreclosure process. He also disclosed that he had assets that were relatively low and included a home valued at $170,000.
Like many others in California, the man in this case found that he had accumulated a great deal of debt in the form of credit cards and personal loans. Though the reasons that he gained so much debt are unclear, in many cases people in our state have found that they have high debts due to financial difficulties such as lost jobs and low home values. Like others, the man in this case needed to find relief from the stresses of trying to pay debts that he could not manage with the income that he earned.
A personal bankruptcy can offer such relief to those of us in California. After a successful process, many, if not all, of the unsecured debts that a person has accumulated can be discharged. This allows the person who sought a personal bankruptcy, like the new City Manager of San Bernardino, to begin a new financial start.
Source: USA Today, "Bankrupt Calif. city hires twice-bankrupt manager," Michael Winter, Feb. 22, 2013