For some people, that is the correct answer. Filing a Chapter
7 Bankruptcy, if you live in the United States, will discharge most of your
debts, and give you a fresh financial start.
there are some disadvantages to personal bankruptcy, and there are some reasons
to avoid filing
First, no-one wants to
go bankrupt. Credit counseling allows you to repay your debts in full, which is
a great option where possible.
Second, with a bankruptcy on your credit
report, it may be more difficult to borrow in the future, such as if you want
to get a mortgage
Third, most people feel better knowing that they
have made a deal with their creditors to pay them off over time through credit
It is important to research your options, so consult with a
credit counselor or a bankruptcy
attorney to review your options, and be sure to read the articles on the left
hand side of the page to become fully informed, so you can make your own decision.