There are several myths about bankruptcy that I will debunk here. If you have serious financial problems, there is a very good chance that bankruptcy would be your best solution. But many people are afraid to file bankruptcy because they think it would ruin their credit or that it’s just for deadbeats. These myths are simply not true.
If you are in serious financial trouble, your credit is the least of your worries. Losing your home or car, or having your wages garnished or money taken out of your bank account are obviously much worse than having bad credit. But you could prevent those things from happening by filing bankruptcy if it is the right solution for you.
Additionally, if you are behind on your bills, your credit is already bad and filing bankruptcy will not make it worse. In fact, people’s credit scores often go up when they file bankruptcy, depending on how bad their credit was when they filed.
Finally, while a bankruptcy will remain on your credit report for 7-10 years, you could still have a good credit score, and you may even be able to buy a house within 2-4 years after filing bankruptcy, as long as you can afford the down payment and mortgage payments.
As to bankruptcy being just for deadbeats, nothing could be further from the truth. Bankruptcy is a Constitutional right in the United States, because the founders of our country realized that honest people can get into bad financial situations, and they wanted to give people a chance to get back on their feet. While the banks to whom you owe the money will try to convince you that you are morally obligated to pay them no matter what, don’t let them talk you into ruining your life in order to keep them rich!
Many famous and successful people, like Walt Disney, Donald Trump, Michael Jackson, Willie Nelson and Mark Twain have filed bankruptcy, and this list is far from complete. These people realized that bankruptcy was a legitimate financial tool, not something to be ashamed of, and they were not afraid to use that tool when they needed it.
So as you can see, concerns about your credit should not stop you from seeing if bankruptcy is the right solution for you.If you are having a hard time paying your bills and/or facing foreclosure or repossession, contact a bankruptcy attorney now for a free consultation. Don’t let the banks convince you not to use this constitutionally protected and perfectly legitimate financial tool!