For most, bankruptcy is a last resort. Understanding that that the rich and famous also sometimes stumble helps clients overcome feelings of failure and shame. During the year that I’ve been blogging, I’ve written about baseball-star-turned-bankruptcy-felon Lenny Dykstra, Bankrupt Presidents, The Real Housewives of Bankruptcy and the Baseball Bankruptcy Hall of Fame. A former beauty queen may face bankruptcy for defaming Donald Trump. Sonja Morgan continues to struggle through her Chapter 11 due to a bad investment in a movie starring John Travolta. All of these people have lead and continue to lead celebrated lives but have found themselves battling loan defaults, lawsuits and bankruptcy.
Although the news media tells us that the real estate market is improving and foreclosures are on the decline, stories about the Detroit Bankruptcy and the continued difficulty of obtaining financing tell the deeper truth: the financial recovery of our country is progressing very slowly.
Acknowledging this reality, I recently wrote about Samuel Insull, the protege of Thomas Edison. Insull’s story is emblematic of the many tales of financial disaster that began with the stock market crash of 1929 that plunged our country into the Great Depression. Insull had been a wealthy industrialist who helped create the national electricity grid. Unfortunately for Insull, he poured all of his wealth into his company’s publicly traded stock, which became worthless when the market crashed. Insull overcame charges of embezzlement and bankruptcy fraud in the 1930’s.
I believe that sharing these stories will help honest debtors overcome their paralytic feelings of “why me?” and the shame of admitting to their struggles in order to get the help they need. Only after getting this help can they begin the fresh start that bankruptcy can give.
Do you have a story of bankruptcy and recovery that you find particularly inspirational? If so, please leave a comment.
