I am 29 years old and a single mom of 2. I work part time and bring home about $830.00 a month. I owe about $13,000.00 in credit card debt. The only thing I own is my 1996 cavilier, which I hold the title to. It is really becoming a struggle for me to get by. I live with my boyfriend, and he is financially unable to help me. Is bankruptcy the answer for me???
Thanks.

Debt_Guy

You have a very tough situation. Whether or not you file bankruptcy, in my opinion, depends on your view of the future.

Do you someday expect to own a home? Do you want credit in the future? Will you need to finance a car?

When do you see these things in your future?

Your credit is already not good. Bankruptcy will make it worse in the short term (say the next 3 years) but thereafter it will mean less and less and time goes on.

A viable alternative to bankruptcy is some sort of settlment with the credit card company. Do you have family that can help (parents usually)? Have you thought about going to the local United Way Credit Counseling agency and seeing if they can help you set up a budget and plan to work your way out of this over time?

Bankruptcy is not a magic wand. But, it will allow you to make a clean break with the past and get a fresh start.

Email me direct if you have more questions.