qjkxbmwvz , 7 months ago

Given the effect it has on credit score, it will perhaps be more difficult to accumulate debt — it will be harder to take out large credit card, mortgage, or other loans. Probably not applicable to medical and whatnot.

In theory I think it makes sense: loans should be a privilege not a right, or something like that. But in reality, loans are essentially required for modern life, at least in the US. So the people who can least afford it end up with loans with ridiculous interest rates (even if the total loan amount is smaller than it would be pre-bankruptcy).

I am fortunate enough to be able to pay off my credit card every month, so the interest rate doesn’t really matter. It’s a great, but dystopian, example of positive feedback: those who can afford pay less (no interest), and those who can’t afford pay more (interest).