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Woman remains debt-free 20 years after filing for bankruptcy

Some may view bankruptcy as a last resort and something that should be avoided at all costs. But for many people, this is far from the truth. Arizona residents who have struggled for years with insurmountable debt, ever-climbing interests rates and relentless creditor harassment know that sometimes paying back debts is quite literally impossible. For those people, bankruptcy is an attractive option as it allows them to get a fresh financial start in life.

One woman detailed her experience declaring bankruptcy nearly 20 years ago. The woman went through a divorce, fell on hard times and found compounding interests impossible to deal with. So she decided to declare bankruptcy, and just five years after filing, she bought a home. According to her account, she now has a perfect credit score and is completely debt-free.

Before this, the woman tried repeatedly to pay off the interest rates that never stopped increasing and she found that without a high-income job, it was impossible. Bankruptcy allowed her to start anew and build a solid financial foundation from a clean slate.

The stigma surrounding bankruptcy is one that is unwarranted. Chapter 7 and Chapter 13 bankruptcies allow debtors to erase most if not all of their debt and begin enjoying a debt-free life. Legal professionals are available to help any Arizona resident who is stuck in endless debt cycles by filing either a Chapter 7 or Chapter 13 bankruptcy in court. There are many options available, and the advice of a legal professional can help persons struggling with debt decide on the best route.

Source: Yahoo Finance, "First Person: 20 Years After Bankruptcy, I'm Still Debt Free," Laura Quinn, Nov. 7, 2013