Comments on: Should You File For Bankruptcy?

By: No Such Thing As Good Debt?

No Such Thing As Good Debt? — Sat, 12 Jun 2010 23:32:49 +0000

[...] Debt is great when it helps a family start a business and provide goods and services to the community. That same debt is bad when the business falters and the owners have to sell all their assets to pay off the debt and avoid bankruptcy. [...]

By: Ron

Ron — Tue, 22 Sep 2009 20:48:15 +0000

I tend to agree with you. Bankruptcy is a very poor option and shouldn’t be entered into without massive debt and massive legal advice.

By: Ron

Ron — Tue, 22 Sep 2009 20:45:24 +0000

There’s nothing like the feeling you get when you do what you know is right and take that responsibility and claw your way up from the bottom.

By: Kath

Kath — Tue, 22 Sep 2009 20:29:05 +0000

I say not, unless it is a serious business failure that occured not because of poor management, but more because of a massive economic shift, such as we see today. For personal debt? No, perhaps the exception would be massive medical debt. Too many people walk away from debt, only to incur new debt…all because they never changed their mindset about money. This is the very reason Debtors Anonymous exists and why those who work it often pay off enormous amounts of debt (including hundreds of thousands). If one really is a debtor, according to DA, then bankruptcy is simply getting ‘off the hook’ and one will incur more debt.

By: mewithoutdebt

mewithoutdebt — Tue, 22 Sep 2009 14:57:43 +0000

Logically, you should file for bankruptcy if the benefit (financial as well as non-financial) out way the cost of having the bankruptcy in your credit file for 7+ years.

By: Meg from FruWiki

Meg from FruWiki — Tue, 22 Sep 2009 13:35:30 +0000

Thank you for talking about the many cons of bankruptcy. I do believe that bankrupcty is something we need as a society as it is a much better alternative than the debtors’ prisons that it replaced. And there are people for whom it is now the only option, whether their debts were their fault or not.

However, I am appalled that so many people think bankruptcy is “a smart financial move” even in cases where the person has a choice. Recently, on a post about a family that worked and sacrificed their way out of six figure debt, several commenters basically said, “Oh, they should have just filed for bankruptcy!”

Personally, I believe that walking away from debt *when you have any choice about it* is immoral because it passes the costs of your bad decisions onto others when you should be taking responsibility for your messes. So, to all those out there who are fighting their way out of debt the responsible way, THANK YOU.