How Long Will a Bankruptcy Stay on My Credit Report?
Americans certainly aren't strangers to debt, despite the long-term dangers involved. But there comes a point when many of us will inevitably struggle to keep up with our debt payments, and if you're in that very boat, you may be considering the merits of filing for bankruptcy and starting over.
It's estimated that over 500,000 Americans declare bankruptcy each year, and while medical debt is actually the No. 1 cause, there are a host of reasons why so people wind up in this unfortunate predicament. The problem, however, is that filing for bankruptcy isn't the quick, painless solution some folks expect it to be.
Depending on the type of bankruptcy you declare, you can expect it to stay on your credit report for seven to 10 years, during which time you might struggle to get a mortgage, car loan, or apartment rental. You should also know that certain types of debt, like student loans, aren't dischargeable in bankruptcy. Before you rush to file for bankruptcy, you'll need to consider how doing so will impact your credit history -- and whether it's actually worth it.
Source: Fool.com
