You are here: DIME Home > Bankruptcy > The Myths of Bankruptcy


The Myths of Bankruptcy

Once you know the facts about bankruptcy, it is not nearly as terrifying as it first appears. Here are some of the most common myths about bankruptcy and what you need to know before you clean your slate.

Author: Amanda Baker
Date: Aug 4, 2010 - 10:02:38 PM


Printer FriendlyPrinter friendly page

Like most formidable situations, bankruptcy has earned its reputation based on very few truthful facts and too many false embellishments. The majority of the miseducation of the public has occurred since the current bankruptcy laws went into effect in 2005. But have no fear, once you know the facts, filing for bankruptcy is not nearly as terrifying as it first appears. Here are some of the most common myths about bankruptcy and what you need to know before you clean your slate.


Myth #1: It is difficult to file for bankruptcy.


False. The new bankruptcy laws have drastically reduced the time it takes to be discharged from bankruptcy down to an average of nine months. In today’s economic landscape, it is understandable that individuals need to file for bankruptcy in order to start over. A qualified, experienced bankruptcy lawyer can make the process as simple and painless as possible.


Myth #2: You will lose everything you own.


This one of the biggest misnomers deterring people from filing. Bankruptcy laws do vary from state to state, but every state has exemptions that can protect certain assets, such as your house, car, qualified retirement plans, household goods and necessary clothing.


Myth #3: You will never get credit again.


Quite the opposite, actually. Before you even get home from the courthouse, your mailbox could be rich with credit cards offers again. The catch is that they will be from subprime lenders charging very high interest rates. In fact, if you have a credit card with no balance at the time you file, you may not have to include it in your list of creditors, since you don’t owe them money. You may even be able to keep the card after the bankruptcy is finished.


Myth #4: If you are married, both spouses have to file.


This one is tricky, but not entirely true. It is very uncommon for one spouse to have a significant amount of debt in their name only. If there are debts that a married couple wants to get discharged in which they are both liable for, they will need to file together. If only one spouse files for bankruptcy, the creditors usually demand the entire payment from the spouse who didn’t file.


Myth #5: You can only file for bankruptcy once.


You can actually file for bankruptcy more than once, but the new bankruptcy laws extended the amount of time in between filings. Chapter 7 bankruptcy can be filed for once every eight years and a Chapter 13 filing once every two years. If you want to file for both on separate occasions, there is a four year wait in between the two filings.


Myth #6: Everyone will know you filed for bankruptcy.


Unless you are a very prominent person or a major corporation and the media gets word, the only people that will know about your filing are your creditors. These days, the amount of people filing is so immense that very few publications have the time, space or inclination to run anyone’s name.


If you are thinking about filing for bankruptcy in Louisiana, contact the Louisiana bankruptcy lawyers that focus exclusively on bankruptcy law, Kirkpatrick Bankrutcy Law. Every day, the attorneys at Kirkpatrick and Associates help people save their homes, their cars, and wipe out their debts from $5,000 to $300,000. No other law firm is better qualified to bring you the fastest debt relief, and do it right the first time. For a free consultation, call 504-828-3311 or visit www.kirkpatrickandassociates.com.

Brian Reed. louisiana bankruptcy lawyers - Every day, the attorneys at Kirkpatrick and Associates help people save their homes, their cars, and wipe out their debts from $5,000 to $300,000. No other law firm is better qualified to bring you the fastest debt relief, and do it right the first time. For a free consultation, call 504-828-3311.



View all articles by Amanda Baker

Link to this article:

Code to copy: <a href="http://www.dime-co.com/bankruptcy/The--Myths-of-Bankruptcy.shtml">The Myths of Bankruptcy</a>




Related Articles...

How to Avoid Devastating Foreclosure Consequences

Mar 2, 2011 - 5:52:07 AM

If you are currently investigating how to avoid foreclosure consequences:        1. You are ahead of many homeowners of Utah foreclosed homes.    2. You are on the way to save thousands of dollars both short and long-term.    3. You are a living proof the future of your kids are important to you.    4. You are guaranteed to minimize foreclosure consequences.    5. You are on the right track to avoid Utah foreclosure!!     Before you learn the most devastating Utah foreclosure consequences, please remember, "If you cannot avoid them, you can at least minimize them!"     So, before you learn "how", let's review some of them:     1) Most homeowners of Utah foreclosed homes will face rental... [Read the full story]

Debt Despite Best Efforts

Nov 9, 2010 - 12:46:01 PM

If you find yourself unable to pay your debts regardless of your best efforts, contacting Tampa bankruptcy attorneys may offer you a fresh start by reducing or eliminating your outstanding debt. Personal bankruptcy usually results out of not only unmanageable planned and budgeted expenses, but unforeseen expenses as well, such as losses arising from divorce and life threatening emergencies. Personal bankruptcy can also occur when there is a large amount of credit card debt or sudden unemployment. If you make the decision to file for personal bankruptcy, don't feel embarrassed or ashamed. The bankruptcy laws have been created to help individuals like yourself begin a new financial chapter in their life.... [Read the full story]

Interesting Facts About Bankruptcy

Aug 13, 2010 - 10:34:08 AM

It is figuratively true that the words “interesting” and “bankruptcy” should never be used in one sentence, but to research about bankruptcy is to discover facts too interesting for the subject. Do not be afraid. Not all articles on bankruptcy are “constitution-esque” articles.... [Read the full story]

The Myths of Bankruptcy

Aug 4, 2010 - 10:02:38 PM

Like most formidable situations, bankruptcy has earned its reputation based on very few truthful facts and too many false embellishments. The majority of the miseducation of the public has occurred since the current bankruptcy laws went into effect in 2005. But have no fear, once you know the facts, filing for bankruptcy is not nearly as terrifying as it first appears. Here are some of the most common myths about bankruptcy and what you need to know before you clean your slate.... [Read the full story]


Newest Articles in Popular Topics:

Business & Marketing Computers & the Internet Entertainment Health & Fitness
Finding Ways To Save Money And Maximize Revenue In Business
Cooper's Golf Park Tees Off Their New Website
Fiinovation Adjudged CSR Team of the Year & Caring Company at World CSR Day
Reasons Why Kale Realty is the Best Real Estate Firm in All of Chicago
Montreal Tech Startup Kangaroo Rewards Launches Mobile Loyalty Program for Local Merchants
It is time we break out of the SEO Shelter
3 Strong Reasons You Should Start Your Own Blog
Evolve Your Career With CompTIA A+ Certification Exam
High speed VMware Backups - Powered by UltraBlaze(™) from Vembu
Things to Consider When Selecting a Domain Name for Your Website
Fling Boom "Launches" This Holiday Season
Beautiful Abstract Canvas Art is Up for Grabs
Buying Art as a Gift: Tips From an Expert
Complete Guide to the 2014 Gatlinburg Fine Arts Festival Released by Jackson Mountain Homes
Learn Blues Music Online-Alternative to Traditional Piano Lessons
Causes and Treatment of Acne
What Type Of Constipation Home Remedies Are There?
Manual Wheelchairs: Buying One
Instant Facelift with Dental Implants
Lasik Surgery Leading Correction Of Vision Issues

Home & Family

Shopping

Sports

Travel
Enhance Your Learning Experience Through Best Responsive Elearning Development Tools
Best Apps for Learning German
Esvees is Cranbourne's Elite Hair Dressing Company
Ozone Generator
Practical Tips When Choosing Gates and Gate Openers for Your Home or Business
Why Cases are Required for Mobile Phones?
Are Dealership Services Worth It?
2015 Jeep Grand Cherokee Named Must-Shop SUV for Towing from AutoTrader.com
Online Selling With An Appraisal Advantage
Macsome AudioBook Converter released New Version V2.0.4
Aditi Ashok signs off with a double
Softball Coaching: Avoid Becoming A Nattering Nabob of Negativity
Softball Coaching Tips - The Funnel Approach
Pick Up Specialized Advice on Jumping Exercises Which Are Highly Effective
Vertical Jump Training Tactics to Increase Your Athletic Performance
Tips for Choosing the Right Paris Short Lets
Hostels - the best choice for working womens and college students
Perfect holiday? Book a cruise and sail in Croatia!
Say Aloha to Your Best Vacation Ever with Kohala Coast Properties
The Perfect Guide for a Fantastic Family Trip to Kansas City

 



Follow & Share Your Favorite Video Articles

Tell a Friend About This Site



Chamber of Commerce - on the Web logo



Subscribe to the eMarket SmartsTM Newsletter in order to keep up to date with what's happening with dime-co.com, get the emails on new video articles, featured articles, and more. Your privacy is always protected. We never rent, sell or trade your private information

:
:

Service provided by GetResponse Autoresponders


Recommended Associates


Latest Articles in All Categories


Putting Up a Small Commercial Printing Business
So You Might Be Unemployed And Desire To Become A San Francisco Real Estate Investor Now
Meditation and Mindfulness: Dealing With Emotion
CPA Websites: Five Essential Ideas for Composing Convincing Articles
Set Goals In Order to Come Up With Your Action Plan
Is the Air in Your Home Safe to Breathe?
Coarse Fishing Tackle Review: The JW Young 13ft Trotter Rod
Section 1031 Exchanges For San Diego Real Estate Investors
Phoenix Real Estate Investing For Highest Possible Earnings
Legendary are the Volk Racing TE37 Wheels
Developing the Next Generation Wall Station (ChaseDesk™) for Healthcare - A Case Study
What are step down transformers?
Introducing Sharehype, the Revolutionary Tool for Online Marketers
Rewards To Shopping For Austin Real Estate On The Web
Hydroponics for Beginners



Do you write?

Would you like submit your articles and have them approved on a priority status? Find out more about how you can become a Priority author for pennies a day! Click here.

Dime-co.com Home
  • Business (9328)
  • Computers & The Internet (5740)
  • Entertainment (1348)
  • Family (958)
  • Finance (1963)
  • Health (4246)
  • Home and Living (6670)
  • Marketing (6113)
  • Shopping & Product Reviews (2624)
  • Sports (694)
  • Travel and Vacations (1689)
  • Video Articles (1)
  • Editors Pick (1)