MasConcepts Incorporated

So I am 19 years old and went from being debt-free with a car I was financing and an apartment to a few days later being in debt (at least) 11 grand and having no car. I was going through a rough time financially due to my gas and heat bill rising significantly and my insurance lapsed on me, and of course that was when a car turned in front of my car and (I’m 99% sure) totaled it. I live in Michigan so we’re a no fault and no pay no play state, so basically I have no legal grounds against the other driver even though they were found at fault and issued two tickets since I had no insurance. I couldn’t even afford to get my car from the towyard, so I had to call the loan company and tell them so they could get it (or leave it and let it accumulate all of the towyard fees to slap onto what I owe them) and they told me to keep making payments on it and they’d contact me if they need more information. I can’t afford to pay my rent, gas bill, groceries etc, car payment for a car I don’t have, AND find and pay for other transportation to and from work.

I assume that the loan company once they collect the car from the towyard will either declare it totaled and try to make me pay the entirety of my loan now, or if it’s fixable tack on the costs to fix the car and try to make me pay that too. Then since I can’t pay it they will sue me, and I’ll be in a crazy amount of debt and be making payments for upwards of 15 years. I’ve spoken with my parents and they both think that my best option is to just let it all play out and then file for bankruptcy once all of my debt is incurred. Like I said I am 19, and I’m worried that I won’t be able to get a new car, an apartment in the future or if mine will even let me renew my lease, or a house when that comes along. I know bankruptcy stays on your file for a long time and obviously it’s a last resort option, but all I’ve been doing is research since the crash happened and literally everything I’ve seen is telling me that I’m totally fucked since I didn’t have insurance. Is bankruptcy really my best option?