Considering Bankruptcy? Lindsay Lohan may beat you to it!

If you are having a tough time financially, file this in the “misery loves company” folder.

Actress and bon vivant Lindsay Lohan apparently owes $600,000 on her credit cards and can’t even pay her rent. Add to that a reported drug abuse problem and a decline in demand for her acting services, and the outlook isn’t very pretty.

Allmand and Lee’s Texas bankruptcy blog reports that “One credit card company is going to discuss a payment plan for Lindsay.” “But if she doesn’t have the income and can’t make her payments, they are prepared to sue her.”

The Texas lawyers think bankruptcy might be a helpful option for Lohan, even if she gets caught up on the rent: “If she has suffered a drastic reduction in income, she is not unlike other ordinary Americans who have faced job losses and reduced salaries. If the credit card company is able to successfully sue her, she could use bankruptcy to protect her assets including her income from club appearances and any royalties she is receiving from other past jobs. However, bankruptcy will not be able to fix any drug abuse problems or money management issues that the actress has. But bankruptcy will allow her the peace of mind and flexibility she may need to focus her energy on resolving more personal issues that could be fueling her financial crisis.”

 

By Doug Beaton

This entry was posted in Bankruptcy News. Bookmark the permalink. Both comments and trackbacks are currently closed.