"Credit Card Bankruptcy"

Back when I was growing up bankruptcy was a real taboo and put a stigma on those who had to file regardless of the reason. Today, for better or worse, bankruptcy is so common that it is no longer looked upon as it was 25 years ago.

With the state of the economy, job losses and the apparent attempt by the credit card companies to enslave you forever, filing bankruptcy sometimes is your only way out.

Such was this case for me.

I lost my job and like most Americans had three or four credit cards that were at their limit. I attempted to get relief by telling the card companies of my predicament and not one seemed willing to help with extensions or lower payments. They just continued to add on interest, late charges and over limit charges until it was impossible to ever catch up.

At that point I gave up and decided that I would not even attempt to pay the bill and would let them pursue me. Once turned over to collections and scavenger companies, the calls started and I continued to tell them I had no money and no job.

That didn't stop them, of course. One company even served me a subpoena and sued me for one of the past due debts. At that point I used my legal services that I continued to pay after my job loss and had them file bankruptcy for me.

That finally stopped everyone in their tracks and all the calls stopped and I got some relief from the emotional stress every time the telephone rang and the stress of knowing the debt was piling up with no chance of my ever paying it down.

The bankruptcy proceeded smoothly. I took the ridiculous test they make you take on the internet and fulfilled that obligation, continued to pay the payments on my car so that I would not lose that and basically was free of all other debt except the car and my lease.

The bankruptcy was the best thing I ever did because once discharged I was debt free, kept my car and immediately started getting credit card offers. You always need one card so I applied for a secured card that reports to the credit bureaus and my scores are already now in the low 700s after about a year.

My life is much less stressful and I am always careful with what I buy and charge so I never put myself in a similar situation ever again.

For people contemplating bankruptcy, all I can say is that the process is virtually painless although it does take a while to discharge. But in the meantime, you get immediate relief from harassing phone calls and unforgiving creditors.

Once discharged you are free of debt, probably still have your car and can go on with your life without worrying who's on the phone.

Contributed Anonymously