Explain why personal bankruptcy should be the choice of last resort.

Help with personal bankruptcy 1148| Business & Finance homework help

Personal bankruptcy should be the choice of last resort because it can have long-term negative effects on a person’s ability to obtain credit and other financial services. Bankruptcy will stay on a person’s record for up to 10 years and make it difficult to secure employment in some professions. It can also be expensive and may take many months to file bankruptcy. You may find it difficult to pay your bills and make ends meet during this period as your income will likely be reduced.

Certain types of debts like student loans, child support arrears and alimony payments aren’t dischargeable by bankruptcy. These obligations will still have to be paid after filing. There are many options that can be used to help you avoid bankruptcy. These include debt consolidation, working directly with creditors to negotiate a payment schedule or lower interest rates for existing debt.

This is a snippet preview, get a complete custom solution
Access a Complete Custom-Written Paper from Our Writers, Now!!