The number of people filing for bankruptcy here in Maine and across the nation continues to rise, and with the current pandemic and economic insecurity, that number most likely will continue to increase. If you’re struggling with debt, know that you’re not alone — and that you have options. Our Bangor-based bankruptcy attorneys help clients across the state get a financial fresh start. 

In today’s blog post, we’ll be sharing a few of the common reasons people declare bankruptcy as well as your options for the types of bankruptcy chapters. Chapter 7 bankruptcy and Chapter 13 bankruptcy are the most common, but there are many nuances in bankruptcy law and our bankruptcy lawyers can help you find the type of bankruptcy that works for you. Continue reading to learn more and contact McCue Law Office in Bangor to schedule a consultation.

Medical Expenses 

Medical expenses can add up quickly, especially if you don’t have insurance or your insurance didn’t cover the certain medical care that you needed. The American Journal of Public Health found that 66.5% of bankruptcies in the U.S. in 2019 were due to medical issues such as being unable to pay high bills or lost income due to being unable to work. 

Rare or serious diseases or injuries can easily result in bills that quickly use up savings, retirement accounts, college funds, and home equity. Once these options have been exhausted and bills are piling up, bankruptcy may be the only option. Even with health insurance, medical expenses can lead to facing high debt, and the last thing you need while you and a loved one are recovering or struggling with illness is the stress of medical bills. While bankruptcy should always be the last result, it can provide you with much-needed relief. If you’re struggling with medical expenses and are thinking about declaring bankruptcy, contact our Bangor law firm today.

Lost Job or Reduced Income

Whether due to a layoff, termination, resignation, or pay cut, lost income can be financially devastating. Some employees are lucky enough to receive a severance package, but many are simply left without income while still needing to pay the bills. Many Americans don’t have an emergency fund to draw from in this situation and end up relying on credit cards or other loans to support themselves while they look for a new job. The loss of insurance coverage along with the loss of a job can also drain financial resources —  especially if it takes an extended period of time.

Even if you don’t lose your job, your pay may be cut if your company isn’t thriving. Due to COVID, many businesses are struggling, and this can lead to cutting costs or furloughing employees. If you cannot find other ways to make up for lost income, you may end up needing to file for bankruptcy.


41% of Americans are unable to handle a $1,000 emergency without using a credit card, taking out a personal loan, or asking a family member for financial help. When credit is used to cover an emergency, it comes with a high average credit card APR and saving loan interest rates. For many Americans, debt is already a problem, and Americans over 18 owe about $29,800 on average (according to Northwestern Mutual’s 2019 Planning & Progress Study). And about 15% of people believe they will be in debt for the rest of their lives.

 Emergencies, such as a lost job or reduced income, or unexpected health problems, play a big role in racking up debt that can be incredibly difficult to get out from under. If you are struggling with debt, declaring bankruptcy can help.  

Credit Card/Other Debt

Credit card bills, car loans, and other installment debt can spiral out of control to the point where you may not be able to make the minimum payment on the debt. When debt begins to accumulate at this speed, it may feel impossible to escape. For many, credit card debt comes from relying on credit to pay for emergencies or to pay other bills. In the moment, it can be the only option, and while you are most likely trying your best to catch up on payments, sometimes the debt just gets out of control. If you’re in this position, contact a Bangor bankruptcy attorney at McCue Law Office.


Divorce is an expensive process. Even before the cost of divorce lawyers, one or both partners may experience financial losses. If you have joint accounts, you may be responsible for taking on part of your ex’s debt. When you’re burdened with your debts, as well as theirs, filing for bankruptcy may be the only way to get a fresh start. Moving on after a divorce is hard enough emotionally, and when you add financial issues into the mix, it can be even more challenging. Let a bankruptcy attorney at McCue Law Office in Bangor help you get back in control of your finances.

McCue Law Office Bankruptcy Attorneys

McCue Law Office in Bangor is committed to helping our Maine clients through every step in the bankruptcy process in order to help you find relief from overwhelming debt. If you find yourself in one of these situations outlined in this blog post and need a fresh start, contact one of our bankruptcy attorneys today. Our law firm has more than 35 years of experience serving clients in the state of Maine. Along with bankruptcy, our law firm also specializes in personal injury, social security disability, workers’ compensation, and real estate. Contact us today for a free consultation.