Bankruptcy Myths & Truths
LaPlace Bankruptcy Attorney
Bankruptcy is rarely anyone's first choice as a method to resolve overwhelming debt. However, the process has been portrayed incorrectly over the years as a punishment, or something to fear, rather than a tool to help solve one's financial problems.
A number of myths continue to be perpetuated about bankruptcy, including:
- Bankruptcy ruins your credit for ten years - This is one of the most common myths about bankruptcy. The truth is that you can potentially bring your credit score to over 700 within two years of filing for bankruptcy. In fact, many credit card companies offer low-limit cards not long after you have discharged your debt.
- You will have to give up all of your possessions - The majority of individuals who file for bankruptcy do not have to give up any of their possessions. If you are filing for Chapter 7, some of your assets or property may have to be sold to repay creditors. But property exemptions may allow you to keep everything.
- New laws will not let you file for bankruptcy - The 2005 bankruptcy law revisions have made it a little more expensive to file for bankruptcy. There are also several new requirements you have to meet, especially if you are filing for Chapter 7. However, if you intend to file for bankruptcy, more than likely you will be able to do so.
- If you are married, you cannot file for bankruptcy alone - In truth, you can absolutely file for bankruptcy on your own, regardless of your marital status. A bankruptcy court may request documents showing your spouse's income, but your bankruptcy will have nothing to do with your spouse, and will not affect your spouse's credit.
If you have further questions about how bankruptcy actually works, a Metairie bankruptcy attorney can provide you with comprehensive information.
Bankruptcy Lawyer in Louisiana
At Big Easy Law Group, our attorneys are well versed in the many aspects of bankruptcy law. Having helped hundreds of individuals through the process, we know when it is the right solution for a client, and when it is not.
If you are considering bankruptcy, our attorneys will discuss the process with you in detail, so that you can make a confident decision regarding whether or not to file. If you have already decided to move forward with bankruptcy, we will take steps to help you maximize your chances of a successful conclusion to your case.
For information regarding the nature of bankruptcy, contact a LaPlace bankruptcy lawyer who can inform you as to how the process works. At our firm, we serve clients in St. Tammany Parish, Covington, Mandeville, and surrounding areas.