Why is Bankruptcy Better for Your Credit Score
admin2025-04-30T18:17:24+00:00Why is Bankruptcy Better for Your Credit Score than “Debt Consolidation” “Now I can’t even rent an apartment.” Sam, not his real name, talked to us last month about filing for bankruptcy. He’d been trying to “resolve” his debts through one of the newer debt settlement outfits. He had been paying the Debt Consolidation Company for eighteen months, and his credit score declined. Why was that? Why Debt Settlement/Debt Consolidation Wrecks Your Credit The big idea behind these companies is that you stop paying your debts: Making your creditors wait for payment encourages them to give you a better deal, in [...]