Financial troubles can arise for many reasons, as Arizona residents may be aware. Debt can come in the form of medical expenses, credit card bills, mortgage payments or loan repayments. Regardless of the form, however, overwhelming bills can leave debtors struggling and it may come as a relief to know that filing for personal bankruptcy can go a long way in wiping out their debts and taxes.
A former "America's Next Top Model" judge may be feeling this relief as she recently filed for bankruptcy. According to reports, the self-proclaimed "first supermodel" owed nearly $1 million to the government and to plastic surgeons and other medical professionals, such as dermatologists.
Court documents show that she owed money in unpaid taxes and newspaper reports reveal she defaulted on her rent payments as well. The model admitted facing some trouble when it comes to her finances and claimed she is making efforts to repay those she owed.
Though she appeared in various reality shows such as "Celebrity Rehab with Dr. Drew" and "Britain's Next Top Model," her financial problem is similar to what some Arizona residents may have experienced: her debt exceeded her income. When it comes to filing for personal bankruptcy, Arizona residents may file for either Chapter 7 or Chapter 13 bankruptcy. Those who file for Chapter 7 may be able to retain many of their household possessions while most of their bills and taxes are wiped out. In Chapter 13 bankruptcy, filers may be able to make court supervised payments to repay their debts, but the payments are dependent on their income. Either way, Arizona residents wishing to regain control of their financial life may want to consider both options as a way to restart their financial life.
Source: Los Angeles Times "Former supermodel Janie Dickenson files for bankruptcy," Nardine Saad, April 23, 2013