“Anyone who is struggling to pay their debts have the potential to be declared bankrupt, but it should only be considered once alternative debt solutions have first been explored. By going bankrupt you will be able to wipe the majority of your debts. You also gain an element of legal protection as the majority of your creditors will not be able to proceed with any enforcement action against you without permission from the court. Please note the word majority here. It is important to realize that not all debts can be wiped through bankruptcy. Similarly, some of your creditors can still take steps to recover their debts.”
At 24, I was in a good place both financially and personally. I had a full time job, my dream apartment, and enough disposable income to keep myself entertained. Sure, I had a little credit card debt–who didn’t?—and my car payment was a tad high, but I wasn’t worried. I made enough money to keep things running smoothly.
This post orginally appeared on Girls Just Wanna Have Funds.
And then one morning, a stomachache I mistook for indigestion signaled the start of a mystery illness that would drastically change my life. Without going into too much detail, my illness kept me from working and thus, I was unable to pay my bills. My parents were able to scrape enough together for my car payment, but rent and other bills were just too much for them to shoulder.
I ended up broke, living with my parents and in constant, mind-numbing pain—all of which caused me to spiral into a depression. When faced with bankruptcy, I felt as if I’d been handed a death sentence. I had worked hard to build my credit. I never missed payments, always paid well above the minimum amount due and had even bought and paid off a car without a cosigner. For a 24 year old, my credit was gorgeous.