Tips that can help you handle bankruptcy better


ADVERTISING DISCLOSURE: is an independent, advertising-supported web site. receives compensation from most credit card issuers whose offers appear on our site. Compensation from our advertising partners impacts how and where their products appear on our site, including, for example, the order in which they may appear within review lists. has not reviewed all available credit card offers in the marketplace.

Credit Card Applications » Research » Guides » Building Credit History » Tips that can help you handle bankruptcy better

Tips that can help you handle bankruptcy better

Updated: December 26, 2012

The content is accurate at the time of publication and is subject to change.

Some situations in life leave you completely cornered and helpless. Matters seem to have crossed beyond a stage where you cannot repair it. One such dreaded situation is bankruptcy. All small and large business run the risk of bankruptcy if funds are not well managed. So can you be a target of such situation due to the same mistake.

Once you find yourself is such a situation, you will be put through a lot of stress, but here are some ways you can handle the situation with great calm:

Point 1: Keep Your Cool

This otherwise simple task will prove to be very challenging. You will find that things are at the helm of affairs when you land in bankruptcy. You will constantly see deadlines and angry statements being hurled at you and some may even be baseless. The key is to keep your calm in spite of it and maintain a positive mental attitude. This will help you think clearly in such a situation and also help you convince people to some extent.

Point 2: Handle the Creditors

Your creditors are going to be terribly upset when they discover about your bankruptcy. It is quite but natural that they too will get a little panicky since their money too is at stake and you have to handle them right. The worse thing you can do at this time is avoid them completely. Instead, be frank with them and let them know about your situation rather than let a third person do the job for you. They may be willing enough o point out ways of recovering from the bad financial state. This is exactly what can help you more than anything else in such emergencies.

Point 3: Assess the Bankruptcy

Yes, you may be very badly battered with regard to your finances, but make sure that filing bankruptcy is your only choice. Do not jump to conclusions and make wrong and extreme statements at this stage. Also, there are different kinds of bankruptcy where there is a partial payback and the other being a complete wipe out of all your finances. Know exactly where you stand and what best can be done to get yourself out of this state. There are certain steps that have to be followed before filing for bankruptcy. Reach out for help and resources to help you understand the process completely.

The only way you can handle matters best is by accepting what is and working your way out of it, specially in a situation like bankruptcy.

Disclaimer: This editorial content is not provided or commissioned by the credit card issuer(s). Opinions expressed here are the author's alone, not those of the credit card issuer(s), and have not been reviewed, approved or otherwise endorsed by the credit card issuer(s). Reasonable efforts are made to present accurate information, however all information is presented without warranty. Consult a card's issuing bank for the terms & conditions.
All rates and fees, and other terms and conditions of the products mentioned in this article/post are actual as of the last update date but are subject to change. See the current products' Terms & Conditions on the issuing banks' websites.
Add to Favorites:
Get the latest news, articles and expert advice delivered to your inbox. It's FREE.

Related Research:

Citi Premier® Card – A World Elite Mastercard Travel Credit Card

Citi Premier® Card – A World Elite Mastercard Travel Credit Card

Posted: February 10, 2021

Citi, a advertising partner, offers the Citi Premier® Card, which gives elevated ThankYou points for your travel expenses and, with the recent update of the rewards program, for purchases at restaurants, supermarkets, and… Continue reading

Discover it® Miles Review: Turn Miles Into Travel Experiences or Cash

Discover it® Miles Review: Turn Miles Into Travel Experiences or Cash

Posted: February 10, 2021

Many travel credit cards come with tempting perks, requiring some effort bonuses, a complicated rewards structure, and steep annual fees. The Discover it® Miles is probably the best Discover card for travel, especially if you do not travel… Continue reading

Top 5 Secured Credit Cards: September 2021 – Experts’ Choice

Top 5 Secured Credit Cards: September 2021 – Experts’ Choice

Posted: October 22, 2020

The COVID-19 pandemic has made significant changes not only in people’s lives and their financial standing but also in the entire financial sector of the U.S. We have collected the best secured card offers from our partners so that you can… Continue reading

You've successfully subscribed!

Please specify the following:All these fields are optional

Your Credit History
Themes you are interested in:

By providing this information you help us make our news letters more useful and informative. Thank you!