Managing the Stigma of Personal Bankruptcy

Abstract

In recent years, the relationship between personal bankruptcy and stigma has generated much discussion and speculation. However, virtually no research has examined the experiences of bankrupt debtors themselves. In this paper, we provide an analysis of bankruptcy stigma based on thirty-seven in-depth interviews with 19 married couples who filed for personal bankruptcy in 1999. The data demonstrate that stigma is a pervasive feature of contemporary personal bankruptcy and that bankrupt debtors rely upon a wide range of stigma management techniques employed by other stigmatized groups. We conclude by considering the implications of our findings for continued research on personal bankruptcy in the U.S. and for understanding, more broadly, the strategies and struggles for social agency among stressed and marginalized populations.

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