What are the benefits of declaring bankruptcy?
What are the benefits of declaring bankruptcy? Min Austria Assistant at Ascent Law LLC While declaring bankruptcy can be a traumatic, stressful event that could result in feelings of shame and humiliation, it can also be a way for some people to regain control of their debt without having to live with the burden of high credit card bills for years. It's important to understand the benefits and disadvantages of declaring bankruptcy before you make a decision. Some of the benefits of declaring bankruptcy include: -A clean financial slate – After declaring bankruptcy, your credit score will bounce back after seven years as long as you've paid your bills on time since your discharge. Prior to that, you'll have an F, or D rating, but nothing too serious. You'll be able to apply for credit so you can buy a house or car or start a business. -No debt collection agencies calling every day – While filing for bankruptcy does not mean that debt collectors will stop contacting you (...