Popular Bankruptcy Myths
We live in uncertain times. The still-raging economic crisis has made it hard to make ends meet, forcing many Americans to consider filing for bankruptcy as an option to get rid of the debt. However, many people are apprehensive about bankruptcy, because they lend their ears to rumors and myths. Bankruptcy is a simple and straightforward affair, provided you have the right bankruptcy attorney on your side.
At Walton Legal Services, we have made it a point to tell you the facts about bankruptcy proceedings, and make the process as painless as possible.. As a first step, we are quashing the myths and bringing you the truth about bankruptcy. Here are a few things that are commonly misunderstood about bankruptcy.
Facts and Myths about Bankruptcy
Myth 1: Youíll lose your tax refund if you file for bankruptcy.
Fact: It is not necessary. There are legal ways to keep your refund intact. We have extensive experience and can help you retain your refund legally.
Myth 2: Youíll lose your house or property in bankruptcy proceedings.
Fact: Again, it depends. If you are filing for Chapter 13 bankruptcy, the law provides for you to keep your property. We have been successful in helping our clients exempt or protect the assets they wish to keep.
Myth 3: The creditors will still be after you even when you file bankruptcy
Fact: Absolutely not. The bankruptcy code provides an ďautomatic stayĒ which bars lenders from pursuing you for as long as the bankruptcy proceedings remain in force. At the conclusion of your bankruptcy, your liabilities will be discharged. This means you will not be under any obligation to pay the debts listed in your bankruptcy.
Myth 4: Youíll never get credit again
Fact: Thatís entirely not true. The truth is that many lenders see lower risk in lending to people who have gone bankrupt recently. This is because there are limits on how many times you can file for bankruptcy. In fact, many of my clients will enjoy a credit score of 720 or higher just one year after filing of the bankruptcy.
If you want further advice about your bankruptcy in Indiana, give us a call and set up an appointment for your free initial consultation. We will furnish you with the details about our fees, so that you know exactly what you will be charged.