Contact Us
Make My Homepage

Financial Experts Warn Against Bankruptcy

money
Mark Wilson\Getty Images

A pair of officials with a local credit union say you should think very carefully before declaring bankruptcy.

First Education Federal Credit Union President Jim Yates says a bankruptcy can stay on your credit report for at least seven years, and even longer in some cases. He says that could severely hamper your ability to get a loan for a new home, new car, or in some cases even rent an apartment. He says higher insurance rates are another potential side-effect of declaring bankruptcy.

First Education Vice-President Ann Lucas echoes those sentiments, adding even if you are able to get credit your interest rate will be much higher than it otherwise would have been. She says a bankruptcy, for example, would probably eliminate any chance of getting a credit card that charges only ten percent interest.

Yates says bankruptcy should only be used as an absolute last resort, because the long-term effects are often far beyond what people expect.

 

Best of KGAB 650AM

Recommended For You

Best of the Web

Leave a Comment

It appears that you already have an account created within our VIP network of sites on . To keep your personal information safe, we need to verify that it's really you. To activate your account, please confirm your password. When you have confirmed your password, you will be able to log in through Facebook on both sites.

Forgot your password?

*Please note that your prizes and activities will not be shared between programs within our VIP network.

It appears that you already have an account on this site associated with . To connect your existing account just click on the account activation button below. You will maintain your existing VIP profile. After you do this, you will be able to always log in to http://kgab.com using your original account information.

*Please note that your prizes and activities will not be shared between programs within our VIP network.

Please fill out the information below to help us provide you a better experience.

(Forgot your password?)

Not a member? Sign up here

Sign up for The Patriot Club quickly by connecting your Facebook account. It's just as secure and no password to remember!

Sign up to have exclusive The Patriot Club contests, events, coupons, presales, and much more delivered to you for FREE.