Many people tried to avoid bankruptcy at all costs. Afterall, some of them have spent years building a high credit score and bankruptcy is the last thing they want to even consider. I remember watching a show on television when a financial expert, Suzy Orman, told a guest that she should file bankruptcy. I was surprised because that same financial expert often tells people to avoid bankruptcy.
The bad news is that bankruptcy can’t always be avoided and it’s sometimes the best option. People who can’t afford their bills and often miss payments or pay late are continuously ruining their credit. They will never be able to rebuild their credit unless they’re able to consistently make the monthly debt payments. A bankruptcy can be a good alternative because it gives people a fresh start. The debt is cleared and the process of rebuilding credit can begin.
Bankruptcy may be the only option for people who are unemployed, especially if there’s a limited chance that their circumstances will change due to a disability or lack of job skills. Most people sincerely want to repay their debt. However, sometimes that’s not possible and bankruptcy is the best option.