Setting the Record Straight: Common Bankruptcy Myths You Don’t Need to Believe

For years, people have had a number of misconceptions about the bankruptcy process. In some cases, these misconceptions will cause a person not to file for bankruptcy even when they need to. Rather than letting your debts consume your life, you need to reach out to a legal professional with experience to help you file for bankruptcy. Each year, 60% of all bankruptcy filings are done by married couples. Finding ways to file for bankruptcy in an easy and comprehensive way is important and possible with the right lawyer at the helm. Read below to find out more about the common myths about filing bankruptcy.

Myth #1: You Lose Everything When Filing For Bankruptcy

Among the most common myths regarding filing for bankruptcy is that you will lose everything. This misconception is why many people choose to keep swimming in debt rather than getting help from a lawyer. In most Chapter 7 bankruptcy filings, debtors will give up none of their possessions. The courts generally allow a person filing for bankruptcy to carve out some exemptions. These are possessions that are considered necessary for a person to live. Talking with your lawyer is a great way to find out what type of exemptions you are entitled to.

Myth #2: All of Your Debts Go Away When Filing For Bankruptcy

While filing for Chapter 7 or 13 bankruptcy will get rid of most of your debt, there are a few exceptions to this rule. Any debts that you are deemed personally responsible for cannot be discharged in a bankruptcy case. Things like taxes, child support, and student loans are some of the most common types of debt that will hang around even after you have filed for bankruptcy. Be sure to speak in detail with your lawyer about the debts you will be able to have forgiven in your bankruptcy filing. By doing this, you will be able to avoid any unexpected surprises along the way.

Myth #3: Paying Off Your Debts is A Better Option Than Bankruptcy

Some people think they will be better off by paying off their debts rather than filing for bankruptcy. While filing for bankruptcy is a very tough decision to make, it is generally the best idea. If the debt you have is more than 50% of your annual income, then getting some relief is needed. By filing for bankruptcy, you will be able to get your life back on track. The only way to make sure this process goes smoothly is by taking the time to find the right lawyer. With a lawyer’s help, you will be able to find out what your rights are and how to approach your bankruptcy filing.

Don’t Let Debt Overwhelm You, Contact Badgley Law Group Now!

Instead of letting your debt consume your life, you need to contact Badgley Law Group for help with your bankruptcy filing. Give us a call at 407-708-9320 to schedule a free consultation.

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