Debt is rising in this country faster than ever before, both for our government as well as for many hardworking individuals and of course the newly jobless.
The question is Should You File For Bankruptcy to get rid of your unsecured debt? The answer is no, except in very extreme cases.
Why is bankruptcy so bad? Bankruptcy follows you for 10 years and you still may be liable for some debts.
Here's what filing bankruptcy could mean for you: Bankruptcy could keep you from getting a job.
Everyone looks at your credit report these days.
Potential employers want to know how you handle your money.
Especially in any job where you might have access to merchandise or handling money, an employer wants to hire someone who shows they know how to handle money well.
A bankruptcy is a red flag to an employer that the potential new employee may pose a risk.
In today's job market, the competition for the jobs is at a high.
As a result, a bankruptcy will most likely kill your chances.
With a Bankruptcy, getting any loan is nearly impossible.
Shark Tank is a new television show I find very interesting.
Five multi-millionaires listen to average Joe's ideas and decide if they want to invest in them and their product.
A gentleman was on the show recently with a good idea.
He told the Sharks he was coming to them for money because he had a bankruptcy on his record and could not get a business loan.
One of the Millionaire Sharks immediately responded "You are radioactive, I wouldn't invest in you because you will never get a business loan".
Unfortunately, the Shark was right.
He may have had a good idea, but for 10 years no one will be willing to loan him money for the many reasons a business needs continuous access to cash.
The first thing any lender looks at is your credit report.
If you have a bankruptcy, not only are you not going to get a business loan, you are going to have a hard time getting a loan for a home or a car and the list goes on.
Higher Credit Card Interest Rates Credit card companies are going to charge you the highest rate allowable by law, if they give you a credit card at all.
In some areas, you could pay as much as 25 percent.
I'm sure at this point, you get the message.
Avoid bankruptcy if at all possible.
So what can you do? The first thing you should try is to contact those you owe and try to work out a payment plan.
If that doesn't work, try a credit counseling or debt consolidation service to get debt relief.
The goal of debt relief is to reduce or eliminate the late fees, penalties and interest so you can reduce your monthly payments and pay off your debt quicker.
Depending on the service you go with, your credit may not be impacted at all, or with debt consolidators, the effect may last just 3 years instead of the 10 years with bankruptcy.
A much better choice.
When choosing a debt relief or debt consolidation company, pick a company that is a member of the better business bureau.
The question is Should You File For Bankruptcy to get rid of your unsecured debt? The answer is no, except in very extreme cases.
Why is bankruptcy so bad? Bankruptcy follows you for 10 years and you still may be liable for some debts.
Here's what filing bankruptcy could mean for you: Bankruptcy could keep you from getting a job.
Everyone looks at your credit report these days.
Potential employers want to know how you handle your money.
Especially in any job where you might have access to merchandise or handling money, an employer wants to hire someone who shows they know how to handle money well.
A bankruptcy is a red flag to an employer that the potential new employee may pose a risk.
In today's job market, the competition for the jobs is at a high.
As a result, a bankruptcy will most likely kill your chances.
With a Bankruptcy, getting any loan is nearly impossible.
Shark Tank is a new television show I find very interesting.
Five multi-millionaires listen to average Joe's ideas and decide if they want to invest in them and their product.
A gentleman was on the show recently with a good idea.
He told the Sharks he was coming to them for money because he had a bankruptcy on his record and could not get a business loan.
One of the Millionaire Sharks immediately responded "You are radioactive, I wouldn't invest in you because you will never get a business loan".
Unfortunately, the Shark was right.
He may have had a good idea, but for 10 years no one will be willing to loan him money for the many reasons a business needs continuous access to cash.
The first thing any lender looks at is your credit report.
If you have a bankruptcy, not only are you not going to get a business loan, you are going to have a hard time getting a loan for a home or a car and the list goes on.
Higher Credit Card Interest Rates Credit card companies are going to charge you the highest rate allowable by law, if they give you a credit card at all.
In some areas, you could pay as much as 25 percent.
I'm sure at this point, you get the message.
Avoid bankruptcy if at all possible.
So what can you do? The first thing you should try is to contact those you owe and try to work out a payment plan.
If that doesn't work, try a credit counseling or debt consolidation service to get debt relief.
The goal of debt relief is to reduce or eliminate the late fees, penalties and interest so you can reduce your monthly payments and pay off your debt quicker.
Depending on the service you go with, your credit may not be impacted at all, or with debt consolidators, the effect may last just 3 years instead of the 10 years with bankruptcy.
A much better choice.
When choosing a debt relief or debt consolidation company, pick a company that is a member of the better business bureau.