That is true in a lot of cases. One exception I can think of is our corrupt insurance industry. In the past people with pre-existing conditions were denied insurance. They would then have to basically bankrupt themselves just to stay alive. Sometimes stiking it to the man is the only thing you have going for you. Worst case after 7 years no one can see it on your credit report. I would assume it is probably findable with a thorough court records search but I have no idea how thorough the background checks really are(never had to worry about it).