Bankruptcy – Filing For It WIll Ruin Your Credit

Posted on 01. Dec, 2009 by Admin in Credit Cards

As the title of this article implies, if a person files for bankruptcy “protection” what they are doing in fact is committing credit suicide. The reasons are simple and many.

Bankruptcy causes much destruction to a person’s credit. It is a double edged sword. And really, bankruptcy should be avoided at all costs. What is recommended these days is that a person consider bankruptcy alternatives before pulling the bankruptcy trigger.

Let’s consider the consequences and ramifications of a bankruptcy filing.

Bankruptcy absolutely destroys the credit of the person who files for bankruptcy. Like my grandmother used to say about 85% of things – “That’s a shame.” The credit score of the person who files for bankruptcy will sink faster than the Titanic. So consumers really need to beware when it comes to bankruptcy.

In fact, the in your face stain of bankruptcy will remain on the filer’s credit for up to 10 years in many states. That’s a shame. The person who files for bankruptcy will be required to fork over hefty deposits when they request future utilities such as gas, electric, water, phone, cable TV and internet. That’s a shame. The person who files for bankruptcy will be denied an apartment rental. That’s a shame. And the person who files for bankruptcy can even expect to be passed over for a job as more and more employers these days are performing credit checks as part of their routine job applicant screening process. That’s a shame.

Folks, listen to my grandmother. All of this IS a shame, and it can be avoided.

What people need to seek out rather is to avoid bankruptcy instead of seeking to file for bankruptcy. True debt relief does exist. It is out there. Don’t let yourself be the one standing before a bankruptcy judge at their mercy.

Tags: avoid bankruptcy, bankruptcy, bankruptcy alternatives