Some of those counselors prey on people in financial trouble. Don't let a con artist make your situation worse. Read our brochure on credit repair scams and the other information in this brochure about financial counseling before you entrust your finances to someone else. The Bottom Line On Bankruptcy Bankruptcy is not a choice to be made lightly. Failing to pay your debts, if you can do so, not only hurts you, it hurts everyone.
Prices go up to cover bad debts and lenders are more reluctant to make loans.
Defaults on student loans reduce the loan pool for other students. Everyone's taxes must be raised to make up for those lost in bankruptcies. In short, if you can stay out of bankruptcy, by all means do so. But, at some point, those measures may not be enough. If you really need to file bankruptcy, it can be a lifesaver-and Congress wanted you to have the option.