Things That Just Aren’t True About Bankruptcy
When you’re in financial trouble, other people have all kinds of advice. Some of the things they tell you are true. But some of the things they say are just plain false — they’re Bankruptcy myths.
Believing Bankruptcy myths can do more than keep you from getting rid of the debt that’s weighing you down. It can have a harmful affect on your credit, your future and your family. That’s why you should only get your Bankruptcy advice from a well-qualified lawyer.
At The Kronzek Firm PLC, based in Lansing, Michigan, we can help. Our lead bankruptcy attorney — Cassandra Drysdale-Crown — is one of only a small number of nationally board certified Bankruptcy specialists. Bankruptcy is all she does, and she does it extremely well.
Filing for Bankruptcy Costs Too Much Money. How Can I Afford to Hire an Attorney?
Many bankruptcies that we file on behalf of our clients can be handled for a small fee upfront. Often, this small fee translates into thousands of dollars of savings and significantly reducing or eliminating your debt. Depending on your situation, we also offer payment plans — so you don’t have to delay your fresh financial start.
The new Bankruptcy laws make it almost impossible to file Bankruptcy.
In 2005, Congress passed changes to the Bankruptcy code. Many people believe that the changes make it nearly impossible to file Bankruptcy, but this is simply not true. The changes to the code are not preventing people from filing Bankruptcy at all. In fact, the national level of Bankruptcy filings are almost what they were before the new law went into effect.
If I file Bankruptcy, I will be forced to give up the possessions I need.
There are all sorts of stories out there about people who filed for Bankruptcy and lost their possessions, but the truth is that most people who file Bankruptcy do not have to give up anything at all. The law protects “normal” household goods and items, tools of the trade and most personal effects. These can normally be exempted, but talking with your lawyer is the only way to know for sure.
If I don’t list everything at the time I file for Bankruptcy, I can’t add it later.
Many people who need to file for Bankruptcy are overwhelmed by piles of bills. They don’t know exactly how much they owe and often feel like it’s nearly impossible to figure out the true amount due to creditors. They put off getting the help they need because they worry that any bills not listed at the time of filing can never be discharged through Bankruptcy.
This is not true. The law permits amending documents they file under certain circumstances. We are very thorough and complete, but we also know that putting off getting the help you need isn’t necessary.
Bankruptcy will destroy my credit.
By the time most people realize that Bankruptcy is the right choice for them, their financial problems have already led to a low credit score. However, they still worry that filing Bankruptcy will destroy their credit. The truth is that credit can be rebuilt after Bankruptcy, and a Bankruptcy filing only stays on your credit record for a set period of time.