Are There Any Bankruptcy Alternatives?
Once thought of as something that happened only to businesses, bankruptcy is an option that has become increasingly popular for individuals. More and more people are using bankruptcy as a way of eliminating unmanageable debt. Many people no longer think of it as a last resort, and in the last few years the number of individuals filing for bankruptcy has grown considerably. Filing for bankruptcy means that you apply to the court to have your assets, if there are any, divided among your creditors. Although it effectively allows you to rid yourself of all debts, it also harms your credit rating and your chances of opening bank and credit accounts. You are also unlikely to be granted any mortgages until the bankruptcy has ended. Also, a creditor can apply to the court to have you declared bankrupt against your will. In the long run, it is not really to your creditors’ advantage to have you declared bankrupt. They may see little or none of the debt repaid to them, or they may have to wait a
