is it worth it?
2006-07-17 08:31:31 · 7 answers · asked by dco 2 in Business & Finance ➔ Other - Business & Finance
Hell no, but you already know this man!
2006-07-17 08:35:44 · answer #1 · answered by Pisces9 2 · 1⤊ 0⤋
With the new legislation that just passed the debt to income ratio would have to be pretty high, $7000 is not much debt to be considering bankruptcy.
- here is a link they should read - http://www.law.cornell.edu/wex/index.php/Bankruptcy
If they do declare they will be made to go chapter 13 more then likely which will put them on a repayment plan; which could be done by working with a reputable credit counseling agency or financial adviser and without the black mark of bankruptcy for 10 years.
$7000 is tough but it can be worked at. I would avoid declaring for that amount alone.
2006-07-17 15:40:40 · answer #2 · answered by b b 2 · 0⤊ 0⤋
It really depends on the circumstances. Has he checked other resources? Like trying a budget plan designed to pay off debt quickly? Bankruptcy will affect his credit adversly for much longer than the 7 years he is told. And worse than bankruptcy, is the slow pay methods of the many credit assistant programs out there. It may take hard work and perserverance, but if he has ANY disposable income whatsoever, he can pay this off. I recently saw a series on Oprah regarding getting out of debt. Maybe he can find some answers at oprah.com...the debt diet.
2006-07-17 15:40:06 · answer #3 · answered by Deb 3 · 0⤊ 0⤋
No, not only will it ruin his credit but it could affect their ability to find a job (because many employers ask if you've ever filed bankruptcy).
A person can eliminate $7,000 of debt quickly if they do the following:
1) Get on a written budget and use cash on expenses where they tend to overspend.
2) Sell something, pick-up extra jobs.
3) Get focused and mad at the debt.
I've seen and heard of people that have paid off $7k in debt in 3 months.
Scott...
2006-07-17 16:19:43 · answer #4 · answered by Anonymous · 0⤊ 0⤋
NO!!! Bankruptcy is FOREVER!! Even like 30 years from now, if he is trying to buy a home, and they ask have you EVER declared bankruptcy, he will have to say yes! Do not do it!! 7,000 is nothing!! Have him go to Consumer Credit Counseling or some other debt consolidation place instead.
2006-07-17 15:36:04 · answer #5 · answered by feeshbulb 2 · 0⤊ 0⤋
If that is truly all that is owed....ABSOLUTELY NOT!
I've been down that road due to illness and medical bills, and have two more years to go before it clears off my record. Ten years is a long time.
NO WAY is just that amount worth bankruptcy.
2006-07-17 15:37:00 · answer #6 · answered by JC 5 · 0⤊ 0⤋
Need More Info..
What kind of debts are they and what is your friends age?
Almost all debt is "negotiable".
What is your friends job outlook?
2006-07-17 15:35:11 · answer #7 · answered by Anonymous · 0⤊ 0⤋