Is bankruptcy really all that bad?

破产真的有那么糟糕吗?

The Indicator from Planet Money

2026-08-20

9 分钟
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Bankruptcy has a negative stigma surrounding it. But what if we told you it’s not as bad as you may think? In fact, economists think we should actually see more of it!  Based on the radio story: More Americans are going bankrupt. What does that mean? Fact checking by Sierra Juarez. Your Next Listen — We're in a renter's market (believe it or not)Connect with The Indicator — Sign up for The Indicator’s weekly newsletter! — Buy the Planet Money book — Find our socials, YouTube and more! — For sponsor-free episodes, subscribe to NPR+  Support public media with NPR+ and enjoy perks for over 25 podcasts like this one. This show’s perks include sponsor-free listening. Learn more at plus.npr.org. See pcm.adswizz.com for information about our collection and use of personal data for sponsorship and to manage your podcast sponsorship preferences. NPR Privacy Policy
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  • NPR.

  • Everything you know about bankruptcy is wrong.

  • Which is a bold claim, but may not be far from the truth.

  • I mean, when a lot of people hear the word bankruptcy, there's a good chance

  • that the image that pops into their mind first is a business.

  • Toys R Us, Blockbuster, Bed Bath & Beyond.

  • But the truth is, the overwhelming majority of bankruptcies are personal bankruptcies.

  • Yeah, if you are talking bankruptcies, you are most likely talking about people.

  • Regular people like Rebecca Leslie.

  • My utility bills are going up the groceries are going up gas is going up like everything

  • just kept Getting to that point where I was like, I can't save anything anymore.

  • I'm out of savings.

  • So earlier this year, Rebecca filed for bankruptcy.

  • At first, you know, I was kind of embarrassed, you know, in a way like I feel like I was failing.

  • And this embarrassment Rebecca felt about bankruptcy, it's common.

  • But bankruptcy economists and lawyers will tell you it's not game over.

  • It's also not a label like, say, being broke.

  • Instead, bankruptcy is a legal option, one that people choose.

  • And it's a choice those researchers say more people should be making.

  • This is The Indicator from Planet Money.