Bankruptcy used to be steeped in a negative stigma, making it difficult for people to formally declare themselves as being in a poor financial situation and having no way out of it. In order to declare yourself as bankrupt, you need to formally apply which will actually cost you money. However, this can be repaid in very small instalments should you be unable to pay up front.
Declaring yourself as bankrupt is often considered a last resort for being unable to pay off money owed. In fact, you need to have unsecured debts which total more than your assets (such as property) in order to be considered truly bankrupt. The other way to be declared bankrupt is if a creditor that you owe money to declares it against you…
Read the full article at: http://fortuneherald.com/finance/are-more-people-opting-for-bankruptcy/