If I File Bankruptcy Will I Ever Get Credit Again, And Again?

Debtors report receiving credit applications after bankruptcy, often from the same lenders whose debts were discharged. A study of empirical data collected from post-bankruptcy debtors by University of Iowa Associate Law Professor Katherine Porter concludes that creditors repeatedly solicit debtors with everything from credit cards and live checks to car loans and mortgages. Professor Porter tells us “[w]idespread marketing…provides a powerful example of the credit industry’s willingness…to profit from financially distressed and vulnerable customers.” See Bankruptcy Profits: The Credit Industry’s Business Model For PostBankruptcy Lending.

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