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Whats your take on bankruptcy?

Have u ever filed? Did it put u in a better position? What was the final draw in determining it was time?

 
rinamomof2

Asked by rinamomof2 at 10:52 AM on Jun. 20, 2011 in Money & Work

Level 21 (11,629 Credits)
This question is closed.
Answers (22)
  • I would rather see a struggling family file to make ends meet and get on the right financial path than a mutibillion dollor corporation file and leave ordinary people without their pensions or kill their 401k or whatever. I filed in 2005 and it was probably the smartest thing I have done. Now the only debt I have is a car payment. It was not an easy choice to make. It was a long climb out of the hole, but I am there. The main thing about it is that a person has to learn from it and not go back into the spending habits just because they have a clean slate.
    Izsarejman

    Answer by Izsarejman at 11:02 AM on Jun. 20, 2011

  • It is not the worse thing you can do... The worse thing you can do is ignore that there is a problem. Most lawyers will offer a free consultation. We had one tell us that we should pursue other options because our debt was not high enough. He pointed us in other directions. Get the facts and make an informed decision.
    Shaken1976

    Answer by Shaken1976 at 10:57 AM on Jun. 20, 2011

  • My parents did it when I was a teenager. It helped them out because we had debt collections calling all hours of the day to the point where we just turned the ringer off and called people. The final straw was when my parents couldn't buy a new house or even pass a credit check to rent an apartment.. we would have been homeless had they not done something to catch up on payments soon
    Anonymous

    Answer by Anonymous at 10:55 AM on Jun. 20, 2011

  • Some people just have no other choice. I'm sure this is the last thing any one wants to do. Hopefully, they tried other things first.
    Christine0813

    Answer by Christine0813 at 10:56 AM on Jun. 20, 2011

  • Yes I have, about 20 years ago. It did help, and it was determined by the stress level from the bill collectors constantly harassing me.

    Dahis

    Answer by Dahis at 10:58 AM on Jun. 20, 2011

  • We filed about a year and half ago. My husband had lost his job and it was our only option at that point because my income was not nearly enough to pay everything. We did a short sale on our house but still had 2 car payments, multiple credit cards and other small bank loans. I worked full time and made good money but it was just not enough no matter how creative we tried to be with our money. In our case it was the best option for us after exploring all other options and it has made it harder to get things now but we are paying our dues and will be/are much better off than we were then. We have learned our lesson and will never be in that situation again. My husband is a full time student getting a teaching degree and I am still working at the same job. We each have a credit card now only to help build up our credit again and it was at the banks urging only to build back our credit to buy another house in the future.
    Neon1980

    Answer by Neon1980 at 11:08 AM on Jun. 20, 2011

  • We are about to file. At this point it is our best option next to short sale. If we are denied short sale we will file. If we don't we will never get back on track. If we do we will be back on track in 7 years.
    But_Mommie

    Answer by But_Mommie at 10:56 AM on Jun. 20, 2011

  • Just think it through very carefully. Three Drawbacks of Bankruptcy

    musicmom08

    Answer by musicmom08 at 11:21 AM on Jun. 20, 2011

  • I'm going to file soon.. I'm 25K in debt.. if I file, I will whip out most if not all of it... once I go back to work after the baby is weened (she's 6 months right now), I will have my other daughter in school and the baby in day care, and can pay off the rest if any, and start saving for a house (I plan on paying for the entire house, not getting a mortgage since I won't be able to from the bankruptcy, which can be accomplished in a matter of 3-4 years if I save appropriately).
    xxhazeldovexx

    Answer by xxhazeldovexx at 11:22 AM on Jun. 20, 2011

  • Well people who do it, do it because they dont' have a choice really. I have a friend who's husband totally screwed her financially, she couldn't remarry untill that was gone. Her credit was bad because of her EX, so filing bankrupt was like a godsend to her.
    Zakysmommy

    Answer by Zakysmommy at 11:47 AM on Jun. 20, 2011

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