After bankruptcy: Is Donald Trump Embarrassed?

by Robert Weed on July 25, 2010

Donald Trump’s casinos, Trump Entertainment Resorts, emerged from Chapter 11 bankruptcy on . This followed two previous bankruptcies by the Trump casinos. First in and again in

(Trump’s other big business failure was , which never made a profit.)

This newest bankruptcy eliminated in debt. The news article reporting all this, called Trump a “celebrity developer.”

Apparently Donald Trump can stay a celebrity developer while wiping out over a billion dollars in the bankruptcy court. (All 12,000 bankruptcies I’ve handled, eliminated about half that, total.)

So far, Trump has avoided personal bankruptcy. He makes better use of corporations than most people. Also, he’s benefited because the hundreds of millions in business bankruptcy losses are enormous! The massive size of the debts encouraged the creditors to .”

I pass this on, because I talk to dozens of people every month who are mortified at having to file bankruptcy. People can feel like their lives are over. People say, “I wasn’t raised this way.” (As if the way people are raised can pay the credit cards when you lose your job. Or get sick.)

Last I checked, Donald Trump still has his. And, while other stockholders were wiped out. Trump is still of the casinos.

Donald Trump filed bankruptcy on ten thousand times more debt than my highest dollar clients. I doubt he’s ten thousand times as embarrassed.

On the other hand, Trump can console himself with something he has in common with most people who file bankruptcy. He had nothing to do with causing the recession that brought him (and maybe you) down.

The recession was caused by people whose greed and stupidity, mostly, was covered by a bailout, rather than bankruptcy. With potential losses in the , bankruptcy didn’t seem to be an option. Instead, the government stepped in.

After bankruptcy

Avoid Personal Bankruptcy