Are there any negative consequences to filing bankruptcy?
Federal bankruptcy laws were established by United States Congress to provide individuals and organizations with a “fresh start” by allowing them to legally eliminate all or a portion of their debts and to start anew. Federal bankruptcy laws were designed to help those in financial distress—not to further burden or hinder them. Despite the many rumors propagated for years by creditors, debt collectors, debt counseling organizations and the like for their own self-interest, there are very few negative consequences to filing bankruptcy. To the contrary, various bankruptcy laws have been enacted to ensure that no person is discriminated against because of a bankruptcy filing. By federal law, no person can be denied employment, a student loan or grant, or a license or permit by reason of a bankruptcy filing. If you have good credit and file bankruptcy your credit will, of course, be negatively impacted. But if your credit is already bad, filing bankruptcy can only improve your life and y
