Today in the UK, 1 person every 3.72 minutes will be declared insolvent or bankrupt. According to statistics by Credit Action, this equates to 386 people per day. For anyone who is struggling with debt problems, these statistics can make very scary reading. If you are considering your debt solutions, what bankruptcy disadvantages are there to consider and how do you know which debt solution is right for you?
It is important that you get specialist debt advice about the range of debt solutions which are available and remember that bankruptcy is not the easy option out of debt. There are many bankruptcy disadvantages that you need to consider as, although you effectively write off your debt, there are a number of reasons why you might want to consider an alternate debt solution:
- Social stigma: Declaring bankruptcy still has a social stigma attached to it and your details will be published in your local newspaper.
- Credit rating: Your credit rating will be severely damaged if you declare bankruptcy and although you may not care about your credit rating in the short term, it is essential that you consider the long term effects of any debt solution. Your bankruptcy will show on your credit history so getting accepted for any loans and mortgages is going to be very difficult, if not impossible.
- Job prospects: Certain careers are closed to bankrupts, so it is essential that you do your research so you do not shut yourself off to any future job opportunities.
These are just some of the reasons why you should carefully consider the bankruptcy disadvantages before you decide that it is the right debt solution for you. Remember expert help is at hand. One Advice can offer you professional and ethical bankruptcy advice covering a range of debt solutions, so not matter how little or how much debt you owe to your creditors, call us today.