Bankruptcy is a fresh financial start. It is designed to help those who are in debt and possess no means to repay the debt. The Bankruptcy Code states that a person is entitled to start over financially as long as they have not been dishonest in getting into debt. Bankruptcy will wipe out all of your unsecured debt and Chapter 7 debtors typically keep all of their property. People get in over their heads financially for many reasons, including, but not limited to: Loss of employment, Cut in hours or pay, Medical bills, and other unpredictable circumstances.
Most people would avoid bankruptcy if they could, but like many things in life, sometimes bankruptcy just cannot be avoided. While it is not easy to make the decision to file bankruptcy, you will survive. Over one million Americans survive bankruptcy every year.