Myths About Filing Bankruptcy
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1- Filing Bankruptcy Will Ruin My Credit Forever
Not True. A Bankruptcy filing will appear on your credit report; however, more than likely, your credit was already seriously impaired before you ever filed bankruptcy. In fact, filing bankruptcy will likely improve your credit over time.
2- If You Are Married, Both Spouse Must File Bankruptcy
False. Although there might be valid reasons for both spouses to file a joint bankruptcy, there is nothing under the law requiring them to do so.
3- Will Never Be Able To Obtain Credit Again
Not True. There are many lenders that will extend credit to people that have recently filed bankruptcy. Filing bankruptcy erases debt and creditors know that by having the old debt erased, you are now capable of paying the new loan.
4- Back Taxes Are Non-Dischargeable In Bankruptcy
False. Certain income taxes can be included and discharged in bankruptcy. An experienced bankruptcy attorney can help determine if your tax debt is dischargeable.
5- If I File Bankruptcy, Everyone Will Know
Not True. Unless you tell people, more than likely no one will ever know. Filing bankruptcy is a public record but someone must have access to the bankruptcy filing system in order to see your case.
To learn more about the bankruptcy process, please contact attorney Josh J. Mitchell with the law firm of Bouloukos, Oglesby and Mitchell. Ph: 205/322-1641