Most people have at least some wrong information about bankruptcy.  Irrational fears hold people back from utilizing this helpful process.  We hope that by dispelling some of these myths, we can help you determine whether bankruptcy is the right course for you.

The initial consultation with a bankruptcy attorney is free.  
You owe it to yourself to contact us now.

Myth I: Bankruptcy is difficult.
While there are many rules in bankruptcy and the process may seem confusing, it is not so difficult that you should avoid the benefits bankruptcy can afford you. If you have competent lawyers representing you, the process should be straight forward for most consumers.

Myth II: If I file, I will lose all my property.
Because of several exemptions built into the bankruptcy law, most people who file for bankruptcy protection do not lose any property at all. Those with substantial property can usually keep their property if they agree to pay back some of their debt.

Myth III: If I file, I will never get credit again.
It is possible to rebuild your credit within months of filing bankruptcy. In many cases, clients report having an easier time obtaining credit after the bankruptcy freed them from so much debt.

Myth IV: If I file, I will lose my House, Pension, IRA, or 401(k).
In Florida, these assets are generally exempt. You will keep your house, pension, IRA, 
and 401(k) in bankruptcy.

Myth V: If I file, I will lose my job.
In most cases, employers will not find out about the bankruptcy, unless you choose to tell them. Either way, employers are not allowed to fire someone (or take other adverse action) for filing bankruptcy.

Myth VI: My bankruptcy will hurt my spouse's credit.
When one spouse files for bankruptcy protection, his or her spouse’s credit is generally not affected.

Myth VII: Bankruptcy will not allow me to pay the debts I want to pay. 
Nobody will stop you from paying a debt you wish to pay. After your discharge, you can choose which debts to pay and which ones not to pay.

Myth VIII: Bankruptcy will not help me because I owe taxes.
While it is true that some taxes will not be discharged, others can be. There are many rules which we will explain to you.

Myth IX: Filing bankruptcy will take too long.
The total time for a Chapter 7 bankruptcy is approximately four months. However, the debtor receives the benefit of an automatic stay immediately after the petition is filed. The automatic stay means that creditors are generally not allowed to collect any debts from the debtor. The phone calls from creditors can end immediately.

Myth X: Only deadbeats file bankruptcy.
Congress didn’t create the bankruptcy laws to help bad guys. The laws are there to help people get out of problems honestly. When good people have serious financial problems, they owe it to themselves and their families to consider bankruptcy.  Contact us now.

Back to Bankruptcy Information Lead Page

Kingcade & Garcia, Attorneys at Law are experienced in helping you eliminate your debt.  Contact us now for a free initial consultation at (305) 285-9100.  If you would like help in deciding whether filing for Bankruptcy is the right course for you, visit the Bankruptcy Info Sheet.

Home | Attorney Profile | Bankruptcy Education | Contact | Disclaimer
Copyright 2002 Kingcade & Garcia, Attorneys at Law. All Rights Reserved.