Many people fear that, because a bankruptcy is referenced on their credit reports, the bankruptcy has a negative impact on one's ability to borrow. Obviously, a bankruptcy is not a positive mark on one's credit, but you have to consider your whole credit picture. By the time somebody files a bankruptcy, his or her credit report usually looks pretty bleak. The bankruptcy cleans up past problems and allows you to start building your credit again.
If you have income, it is often possible to get credit cards and car loans shortly after your discharge. It is even possible to get a home mortgage after as little as one year following a discharge. Many of these same people would not have been able to obtain this credit without getting rid of their old debt by filing for bankruptcy.
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