bankruptcy

Why is bankruptcy considered the debt relief option of last resort?

The answer to this question is easy enough – for those in debt, choosing bankruptcy holds the most extreme power but also the most extreme consequences. This is one choice that will be felt for a long time. Read More

When the U.S. Congress changed the nation’s bankruptcy laws in 2005, the law included a provision that all people seeking bankruptcy needed to attend a credit counseling session before being able to file.

The idea was to provide the consumer with an opportunity to see if their debt could be handled with a method short of declaring bankruptcy. Read More

Do credit card companies try to suck people back in who have gone through bankruptcy by giving them even more credit afterward?

That’s the concern of two researchers with the Federal Reserve, who believe that is the case, and that people coming out of debt become targets for those who profit off of putting other people in debt. Read More