The wage gap between men and women is a continuing problem in Tennessee and other states. However, there is also a statistical disparity between men and women when it comes to debt.
Data from Comet Financial shows that women carry more debt on average than men for student loans, car loans, credit card debt and medical bills. Some of this difference can be accounted for by differences in spending and borrowing habits. However, much of it may be due to the wage gap problem, considering that women on average earn about $0.72 to $0.82 per dollar compared to men working in similar positions.
Individuals who have gotten themselves into debt trouble may end up spending a lot of money over time on interest payments. Some debtors decide to create a budget to shrink their expenses while they are paying off debt. Others find ways to earn extra income in addition to their primary source of income.
It’s also possible to turn to bankruptcy for debt relief. Bankruptcy can offer a financial fresh start for those who owe creditors money on unsecured debts. However, debts such as child support and most student loans cannot be discharged in bankruptcy. Many people who qualify choose to file a Chapter 7 bankruptcy, which discharges most debts in exchange for liquidation of the debtor’s non-exempt property.
Legal counsel can advise debtors who are interested in filing for bankruptcy. Some individuals choose to file a Chapter 13 bankruptcy, which may allow one to keep more property than a Chapter 7 bankruptcy. Debtors must make payments according to the Chapter 13 plan for several years. This may be an option for people who do not meet the income requirements to file under Chapter 7.