Orlando Bankruptcy Attorneys
Many individuals face debt that seems to be spiraling out of control. They hear that bankruptcy might be an option to get them out of their troubles, but they are unsure of the consequences. A great deal of information is heard from friends or family members who might not be entirely correct. At the law firm of Richard A. Heller, P.A., we thought it might be helpful to dispel a few common bankruptcy myths.
Myth #1: Bankruptcy Will Ruin My Credit Rating
This is not accurate. Unfortunately, missed payments, late fees and the threat of foreclosure may have already damaged your credit rating. A bankruptcy can eliminate your unsecured debt (such as credit card debt and medical bills) so you will no longer incur late fees. Soon after being discharged in a bankruptcy, many individuals begin receiving credit card applications in the mail (which we do not recommend), and are able to buy a car. Many people can begin rebuilding their credit after a very short time.
Myth #2: After Bankruptcy, I Will Never Be Able to Purchase Another Home or Car
As mentioned above, most individuals can begin rebuilding their credit shortly after filing for bankruptcy. If you have filed for bankruptcy, you might not be able to take advantage of special offers or promotional APRs, but if you have worked to rebuild your credit, you will most likely be able to make the purchase. Many government guarantors require that the bankruptcy be discharged for 2 years to be considered for another home loan.
Myth #3: I Will Hurt My Spouse's Credit by Filing for Bankruptcy
If you are married, a bankruptcy can be filed for both spouses together, each spouse separately, or one spouse only. Each situation is different, but in most cases, one spouse's bankruptcy does not affect the other's credit when there are no joint obligations.
Myth #4: Recent Changes to the Bankruptcy Code Will Prevent Me From Filing
Most people are concerned about the "means test." This is basically a calculation that determines your income taking into consideration certain expenses. If you "pass" the test, you qualify for Chapter 7 bankruptcy. In the vast majority of situations, individuals who do not qualify for Chapter 7 can still file for Chapter 13. However, many less experienced practitioners may not understand the means test and how it functions, well enough to guide you properly.
Myth #5: Only Reckless or Irresponsible People Have to File for Bankruptcy
Our troubling economy has forced many individuals to face bankruptcy as an option to regain control of their finances. We have found that the vast majority of filers are honest, hardworking Americans have looked to the Bankruptcy Code for protection. The Bankruptcy Code was enacted as a safety net to help people, not punish them. People from all ages, occupations and backgrounds have needed to get a fresh start by filing for bankruptcy.
We understand that a website can never take the place of a personalized consultation with a knowledgeable attorney. Do not hesitate to schedule an appointment with a lawyer at our Orlando, Florida, office.
Professional Legal Services
Have your case handled by an attorney with the experience necessary to provide you with the level of representation you deserve. Contact us today. We offer free initial consultations for bankruptcy and family law matters.
We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.
