> it shows an inability to manage ones finances and staying within a reasonable band of spending

In a world^w country where being sick can put you in complete and utter financial ruin, or where buying a house you can make payments on but whose value drops precipitously resulting in a seizure of the house, I call bullshit.

There's many, many reasons in our world today that you might need to declare bankruptcy, and being unable to manage your finances is only one.