10 Things to Know Before You File Bankruptcy

If you feel like it’s impossible to dig yourself out of credit card or other debt, filing for bankruptcy may seem like your only hope to eliminate debt and make a fresh start. However, filing for bankruptcy carries a hefty price tag when it comes to your credit rating.

That’s because a bankruptcy judgment – which can stay on your credit report for up to 10 years – has an adverse effect on your credit score. Filing for bankruptcy shouldn’t be your first option, but if you must file, it pays to know how bankruptcy could affect your life.