Is easier to clean up your credit after you go through debt consolidation or file Bankruptcy?
by 
dizzygirlio
ANSWERS: 6
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Bankruptcy is permanent, but at the same time, debt consolidation sometimes means getting into more debt to get out, and it is easy to get into further trouble. I speak from experience as I went bankrupt in December.
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If you can do anything to stay out of bankruptcy, you should do it. There is tons of advice that you could recieve, but none as good as that of a real financial advisor. I'd go see one of them if I were you. They will be able to find the best option to suit your current situation. They may cost a little bit of money, but it's worth it to not have a permanent mark on your credit record.
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Sorry, stupid slow computer entered this twice.
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Bankruptcy is better than debt consolidation. It wipes out your debt (depending on if you file Chapter 7 or Chapter 13) and usually within one year afterwards you can start getting small loans and credit cards and start rebuilding your credit. Debt Consolidation takes you forever to get through and then after spending all that time and money to get out of debt you still have to rebuild your credit.
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NO! if you are bankrupt or a IVA - it will haunt you for a very long time. Make agreements with your lenders to pay back what you can without missing any payments and your credit will eventually repair itself.
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File bankcruptcy is easier, don't worry in USA they allow you to file bancruptcy again after 7 years. And within this 7 years to your second bancruptcy some lender are still very generous to lend their money to unqualified borrowers. You are lucky to live in USA.
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