In previous posts, we brought up the different myths associated with bankruptcy and how many people in Tennessee and elsewhere hesitate to file because they are worried how a personal bankruptcy could impact their credit or affect future loans. You may also worry about the emotional side of a bankruptcy.
How will your family members, friends and work associates view you if they know you had a bankruptcy? Does filing for bankruptcy mean you have failed in some manner?
These worries are not uncommon. You may not be surprised to learn that most people who file for bankruptcy suffer from the same negative feelings at some point during the process.
However, you may not realize that the prevalence of bankruptcy in the United States has changed the way most lenders and many people think about this form of debt relief. The Balance states that one out of 10 people will file for bankruptcy at some point, so you may already know several people who have gone through it.
Up until now, you might be experiencing the following feelings about considering bankruptcy:
- Guilt that you cannot repay your debts
- Shame and fear that others will judge you
- Embarrassment at the thought of discussing your financial state with others
- Worry that a bankruptcy may affect your job or ability to find a job
Fortunately, you may feel a sense of relief to learn that the social stigma of bankruptcy has largely vanished. Many lenders are willing to offer credit to people soon after their debt discharge – further proof that a bankruptcy does not carry the heavy weight it used to.
It is true that a bankruptcy will affect your credit score for several years, but you should not have to feel ashamed or guilty for taking this step. Consider it a way to relieve yourself of the burden of unmanageable debt and allow you to more effectively manage your expenses and loans in the future.