Bankruptcy Indiana

Children are too often the victims of economic forces they had no part in creating, it makes me very sad to realize.  Yesterday I blogged about the way in which the reduction in Medicaid reimbursements by the states has made it difficult for many children to get the ongoing healthcare they need. Meanwhile, home foreclosures are hitting children from another direction.

A year ago, a report on firstfocus.net estimated that two million American children would be affected by the mortgage crises, bringing out that not only do foreclosures mean children lose their home, they are also deprived access to certain services and certain schools. In the report, Philip Lovell and Julia Isaacs stress that certain behavioral problems common arise in children who have been forced out of their neighborhoods.  Only half such children, they claim, are likely to be as proficient in reading as their peers.     
                                 
I know.  As part of my work as an Indiana bankruptcy attorney, I'm often involved in discussions about mortgage decisions and foreclosure options.  And, while recent statistics show a drop in the number of foreclosures, the problem remains very serious and has begun to affect more expensive homes and homes with prime mortgages as well. As I mentioned in a previous Indiana bankruptcy blog (see "Foreclosure Fixes Outside Bankruptcy"), foreclosures and "short sales" have been making up a third of all homes sold in and around Indianapolis in recent months.

CNN.com reported that the number of homeless students is increasing dramatically, and that according to a study by the National Association of Homeless Children, there are more than 450 school districts across the U.S. that had an increase of 25% or greater in the number of identified homeless students. An Indianapolis Star Y Press report calls kids "Foreclosure's Silent Sufferers".

The interesting thing that I've found - and remember that in my Indiana bankruptcy law offices we've handled literally tens of thousands of bankruptcies - is that there's no one right decision when it comes to keeping a home or allowing it to go into foreclosure.  When there are children in the family, keeping the home often takes on greater importance.  On the other hand, it sometimes helps for families to remember that their "home sweet home" is really wherever they are as a family!