It’s a difficult process and probably the last resort for you and your family. While we understand just how hard this time can be, we also realize there are a lot of myths and misconceptions surrounding bankruptcy. Part of our job is to dispel the fallacies and to create a game plan built around the truth. Our strategy is to cultivate what works best for you and your future. At the Law Offices of John Schmidt & Associates, we will see to it that you’re completely informed of your options.
5 Bankruptcy Myths (& Why They’re Not True)
1. Everyone will know I filed for bankruptcy and it will ruin my life.
This myth couldn’t be farther from the truth. With the exception of being a public figure or managing a major corporation, it’s highly unlikely that anyone besides your Shepherdsville bankruptcy lawyers and your creditors will be aware of your bankruptcy filing.
2. Chapter 7 bankruptcy will clear up all of my debt.
While this may sound great, the truth is that filing chapter 7 definitely will not clear up all of your debt. There are certain types of debts that, by law, are ineligible for bankruptcy relief. Some of these debts are:
- Child support
- Student loans
- Spousal support
3. If I file bankruptcy, my credit will be ruined forever.
This myth isn’t necessarily true. In fact, it’s only true if you aren’t responsible with your finances. It’s not uncommon for people to restore their credit to even higher scores than before filing once the bankruptcy process is complete. We’ll aid you in coming up with a solid financial plan to secure your future and help you rebuild your credit. You have to be patient and diligent, but it can work.