Bankruptcy may sound and seem scary, mostly due to widespread myths about it, but it’s in fact the solution to many financial hardships and a way to get a clean slate.
If you’re in debt and struggling, you should consider hiring San Diego’s leading debt relief lawyer and get much-needed assistance. Before you take that step, let’s bust a few popular bankruptcy myths.
What are the common misconceptions about bankruptcy?
While bankruptcy brings many benefits and a way to gain financial freedom, there are many myths surrounding it. Here are the most common ones:
1. People will find out you filed for bankruptcy
While bankruptcy filings are public records, unless people search for your information specifically, there’s no way they would know of it. And if you’re worried about your current or potential employer finding out – even if they do, it shouldn’t be a cause for concern.
First off, filing for bankruptcy means you’re dealing with your financial situation and moving forward. Also, there are federal laws protecting you from being discriminated against for having filed for bankruptcy.
2. Your credit score will be ruined forever
If you want to file for bankruptcy, your credit score is probably bad to begin with, and you’d be making the right decision handling your debts and getting a clean slate for yourself.
While bankruptcy will remain on your credit report for 10 years, it’s not forever, and you’ll be taking a step in the right direction to rebuild your credit.
3. You’ll lose everything
The point of bankruptcy is to help you get back on your feet, so losing everything is definitely out of the equation. There are bankruptcy exemptions that protect your qualifying real or personal property, retirement and pension, public benefits, and more.
4. Even after filing, the creditors will keep harassing you
Once you file, the court issues an order, automatic stay, so that your creditors are not allowed to contact you, send you collection letters, sue you, or attempt any collection action. In case your creditor violates automatic stay, you can take them to court.
5. Spouses have to file together
Unless you both share liability for certain debts, there’s no reason for both of you to file. You should also know that it’s not legally required for spouses to file for bankruptcy together.
6. Filing for bankruptcy means you’re irresponsible
While bankruptcy is often viewed as a way out for those who handle their finances irresponsibly, it couldn’t be further from the truth. There are many reasons a person might decide to file, such as sudden job loss, exorbitant medical expenses, and divorce.
If anything, filing for bankruptcy when you’re drowning in debt is the responsible path to take and get a chance to start fresh.
7. It’s difficult to file for bankruptcy
Perhaps you’re not familiar with the history of bankruptcy or you don’t understand all the terms, but that doesn’t mean the filing process will be difficult. With knowledgeable and experienced lawyers, everything will be taken care of and you won’t have to worry about choosing the right Chapter or submitting the paperwork on time.
Where in San Diego can you find a dependable debt relief lawyer?
The experienced team at Bankruptcy Law Offices of Mark L. Miller is at your disposal! Let us answer all your questions, alleviate your concerns, and help you get back on your feet by filing for bankruptcy.
Our attorneys specialize in bankruptcy matters and provide expert legal representation and guidance from start to finish. Let us do all the work and get you back on track so that you can enjoy a stress-free day at Ocean Beach.
Feel free to reach out to us today!