Kahn Academy - Personal Bankruptcy

“Personal Bankruptcy.”

Resource Details

When

Anytime

Where

Online

Cost

Free

Program Rating

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Description

Back in the day (like medieval Europe), you would actually be thrown in jail if you couldn’t pay your debts (debtor’s prison). That seemed like a pretty awful thing to do (not to mention that lenders are much less likely to be paid by someone rotting in prison), so governments created an “out” called bankruptcy (which, as you’ll see, is a pseudo-painful “reset” button on your finances).

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