519-646-2222BANKRUPTCY MAY BE A GREAT DEBT STRATEGY
Here’s how it works:
You start out with a few credit cards and use them frequently being sure to make minimum monthly payments on time. Run up those credit cards to close to their limits and the credit card companies will increase your limits – the fact that you don’t make enough money to be able to afford to revolve the debts is of no consequence.
As your limits increase so will your access to other credit cards – now keep in mind, and this is important, that you can use credit cards to make the payments on other credit cards. The banks already know about this possibility and that is why they offer a variety of credit cards (VISA, MC and AMEX) to their clients – to facilitate perpetual debt. If they’re O.K. with the strategy…
Anyway keep going, spending and paying until you’re in for somewhere between let’s say $100-$200,000.00 in credit card debt then go bankrupt. As long as you have little or no assets and relatively low income you’ll be discharged from your first bankruptcy after nine months and you can start again.
It will only take a few months to a year or so before the same companies will make credit cards available for you again and you do the same thing all over again. This time though it will take two years from the time you sign up for bankruptcy to get your automatic discharge. As you start to prepare for your third bankruptcy by racking up another massive amount of credit card debt you may find that the cards come a little more slowly than the last two times but come again they will.
Now getting your third discharge from bankruptcy will require a court attendance and your discharge will be suspended for a period of time, but hey, that’s the cost of doing business…
Now, of course I am being tongue in cheek but before you judge the bankrupt who is resorting to the use of a legal process to eliminate debt perhaps you should step back and think about the lack of any form of morality in the lending industry.
The bankrupt depicted above has never been able to acquire anything of any significance because money flows through his hands and into the coffers of the lenders. But the lenders have obtained trade worthy assets, receivables that helped to lift their businesses.
Now let’s be clear we are not promoting bankruptcy as a life-style choice nor as a strategy for acquiring and disposing of debt. It would be our preference to see people recognize the real damage that is inflicted on them and society by overzealous, poorly regulated, lenders.