Should I file bankruptcy for $12K debt?
Bankruptcy isn’t a cure-all. You should avoid it if you can’t afford these consequences.
Michelle Clardie is a seasoned investor who’s been writing professionally about saving and investing since 2017. She used the investment advice she covered to quit her day job in property tax consulting and move abroad, writing her way from one country to the next.
With a Master's in Business Management and Strategy from WGU, Michelle specializes in making complex personal finance topics easy to understand. You may have seen Michelle’s work on:
Bankruptcy isn’t a cure-all. You should avoid it if you can’t afford these consequences.
With a smaller paycheck, it may be necessary to alter how much you can pay back in bankruptcy.
Settling your car loan debt can end high payments, but your credit score will drop.
When filing Chapter 7, you must disclose all assets, but it doesn’t mean you can’t keep some.
If you are considering working with a debt relief company, make sure to watch out for debt relief and credit scams.
Learn how to minimize negative changes to your credit score when consolidating debt.
Need credit card debt relief? Consider debt consolidation, debt management, debt settlement, or bankruptcy.
Negotiating your student loan debt settlement is hard but not impossible.