Reality television star filed for Chapter 7 bankruptcy

On Behalf of | Nov 30, 2015 | Chapter 7 Bankruptcy |

Texas residents who watch reality television shows may be aware that several prominent reality stars including Sonja Morgan, Teresa Guidice and Alexis Bellino have filed bankruptcies in recent years after running into financial problems. Morgan appeared on ‘Real Housewives of New York,” Guidice found stardom on ‘Real Housewives of New Jersey” and Bellino is best known for her appearances on ‘Real Housewives of Orange County.” Media outlets reported on Nov. 23 that Robyn Dixon, who found fame after being cast in ‘Real Housewives of Potomac” had also previously filed for bankruptcy.

According to court documents, the 36-year-old celebrity filed a Chapter 7 bankruptcy petition because her income of approximately $2,000 per month was not enough to keep up the payments due on her debts of more than $217,000. The papers were filed in Dixon’s home state of Maryland in September 2013, and the case was closed in October 2014.

A $149,813 mortgage made up the majority of Dixon’s debt, but the mother of two also owed an auto finance company over $28,000 as well as more than $27,000 to American Express and Discover. Since filing for bankruptcy, Dixon has lost her car. She has also been ordered to pay the IRS over $16,000 in unpaid taxes.

While some celebrity bankruptcies reveal lavish lifestyles and frivolous spending, this facts in this case reflect the kind of financial issues faced by many Texas residents. A loss of income caused by a layoff or illness can quickly lead to a financial situation becoming unmanageable, and it is not uncommon for individuals and families to rely on credit cards to make ends meet. An experienced bankruptcy attorney could dispel many of the myths and misconceptions associated with filing for bankruptcy while discussing other forms of debt relief that may be available.