Most people going through personal bankruptcy would prefer to keep the proceeding a private matter. But when you are a celebrity, once word gets out, it can be very difficult to ignore the public’s questions and speculation.
Early in April, it was revealed that actress Tisha Campbell-Martin and her husband, Duane Martin, have filed for Chapter 7 bankruptcy. The couple reportedly claimed more than $15 million of debt, and said in their filing that they were spending nearly $17,000 per month, compared with their combined monthly income of $7,655.
After the news was revealed, Campbell-Martin, best known for her roles on the sitcoms Martin and My Wife And Kids, took to Twitter to explain her financial situation. Rollingout.com reports that she told her followers that she and her husband “invested n real estate, got involved w some loans” before the stock market crash of 2008 that led to a massive wave of foreclosure nationwide.
“Obviously couldn't agree 2 a settlement with the banks,” Tisha-Campbell wrote, “so we filed to reorganize.” She went on to thank her fans for their concern and support, before later deleting the tweets from her account.
As this story suggests, while most people would not like their bankruptcy filing to be front-page news, it is nothing to be ashamed of. Most people who file for Chapter 7 or 13 bankruptcy are good people who need a fresh start. These forms of bankruptcy differ in several important ways, so anyone considering bankruptcy protection should consult with a bankruptcy attorney to help figure out their options.