Having gone through a bankruptcy 7 years ago, I'm still feeling the shockwaves of that fateful event in the form of higher interests rates when I apply for loans, and living with the whole stigma that bankruptcy places on you.

It was 1990. I was a freshman in college. Walking through campus, I'd be bombarded with credit card offers on a daily basis. One day I though, "why not?" I got my first credit card.

$500 to do what I want, who can beat that? The problem was, that it was so easy to apply for credit cards I ended up applying for all of them, or so it seemed. Actually, I had at least 5, and soon enough, they were all maxed out.

And then I bought a car, which only added to my mounting debt.

Fast-forward 7 years. I had amassed a serious debt, and I didn't even have a decent paying job to keep up. It was an overwhelming experience, to say the least, and in the end I decided that bankruptcy was the only option.

They make it so easy to declare bankruptcy these days. The lawyers and their commercials tell you how low cost it is, and how simple. Just go into their office, fill out some paperwork, pay them their check, show up to court, and you're done.

It's the aftermath they don't tell you about—the shame, the guilt, the disgrace that it places on you, the inability to get decent rates on credit cards and loans, or even rent an apartment.

It's been 7 years now since that fateful day in court, when my slate was wiped clean. As relieved as I felt for no longer having to deal with the insurmountable task of paying bills I could no longer afford to pay, I didn't feel very good about myself, and still don't.

They say that a bankruptcy stays on your record for 10 years so I have 3 more years to go. In the meantime I'm getting married soon, so how do I tell my wife-to-be that we can't buy a house just yet? We have to wait three years.

No, I haven't told her yet. I'm too ashamed.

That's why I started http://debtrelief1.info to let people know that there are alternatives. Hopefully, people will learn from my mistakes and think long and hard before deciding that bankruptcy is the answer.

In my opinion, it's a bad decision and a short-term fix to a more serious problem. In the end, you still end up paying your debts in the form of internal strife, external perceptions, and higher interest rates.

About the Author

Eric Chavez is an author, and researcher in the field of credit counseling, and debt relief. He enjoys helping others overcome the stigma of bankruptcy, and turn their lives right side up again. Visit his website, http://debtrelief1.info for more information.

Eric Chavez

american bankruptcy

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