I came across a thread in our forums today about Bankruptcy Law. It got me thinking we should have a money blog discussion on whether or not bankruptcy is good or bad.
Unfortunately, many individuals see bankruptcy as a quick solution to their debt ills. Sounds cool to have a magic fairy come in and wipe your problems away. This specific Families forum thread noted the changes in the laws recently. Luckily the changes try to address this magic fairy situation, basically forcing bankrupt individuals to still pay their debts through a slower managed method.
“Luckily” you may ask. Shouldn’t someone be allowed to wipe the slate clean and start over??? Are you kidding?? Can you believe that this is EVEN an option? Now, maybe I am too conservative, but seriously… should we allow people to overspend and then allow then not pay it back! What sort of world do we live in?
Okay… now this may be a bit of a tangent here… but I think bankruptcy and people’s willingness to jump into it is indicative of our society’s ills. The idea we can spend what we do not have, wave a magic wand and it disappears, takes away our sense of responsibility. The materialism present today, combined with this lack of responsibility, is creating huge financial problems for many people and families.
Sigh…
Bankruptcy has its place, but only for a select few. Avoid this quick fix thinking. Take control of your finances now. Take responsibility for your actions. No one is making you spend money. If you have trouble making ends meet – go get help… NOW! Don’t wait until it gets out of control.
In my opinion, you should avoid bankruptcy at all costs. Not only does it negatively affect your personal life and credit – but also it impacts society as a whole. What do you think??
Related Articles:
*A Look at the New Bankruptcy Laws
*Warning Signs of Possible Bankruptcy