Obtain Insurance There are many types of insurances that we are

required to have, but studies have shown that the majority of bankruptcies are because of medial reasons.

Watch your Debt Ratio A good rule to follow is to have your monthly debt

obligations to equal no more than 20% of your paycheck. Bankruptcy may be an option if you are finding yourself having unmanageable debt.

Adjust your Spending It is possible to pay off your debt if you start making

changes on how you spend. This is not an easy option because people do have spending habits.

Settle Debts You can try to settle your debts for less than the full

balance. These credit tools can help someone get out debt and avoid bankruptcy.