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The cost of bankruptcy can be categorized by several different factors. Obviously there is the financial cost to file Chapter 7 Bankruptcy which can range depending upon filing fees and attorney fees if any as well as the state you live in. Filing Chapter 7 Bankruptcy costs start around $200 and can go up from there. Then of course, when considering the "cost" of any bankruptcy, one must take into account the ramifications that it will have on your credit. Chapter 7 Bankruptcy stays on your record for 10 years and may make it difficult, although not impossible, to obtain car loans, home loans or credit cards in the future. However, on the other hand, if you're in a situation where you've fallen behind in your obligations, your credit may not be stellar at this point anyway. Sometimes filing bankruptcy can be the best option simply to wipe away debt and start fresh and new.
|Jennifer Mathes, Ph.D.|