Common Bankruptcy Myths
At times, people believe that there is a moral stigma associated with bankruptcy. However, that is a fallacy. That stigma is perpetuated by individuals with an interest in seeing people not file for bankruptcy, like banks and lenders. The Bankruptcy Code is actually in place for another reason – for the unfortunate individual who needs a fresh start on life.
At our law firm, Atlas Consumer Law, we work hard to put our experience to use in each of our clients' cases. Located in Oak Brook, Illinois, our law firm serves clients throughout Chicago and the surrounding areas.
Contact our office to learn about bankruptcy by calling us at (312) 313-1613.
Demystifying Bankruptcy Myths
Everyone has heard myths about bankruptcy, and we want to challenge those myths by separating fact from fiction:
I make too much money to file for bankruptcy.
False. There is technically no limit on earning for those filing for bankruptcy. It is important to understand that many of our clients are educated, have multiple assets and are not a basic Chapter 7. We handle complex Chapter 7 cases for our clients.
I will lose everything.
Untrue. You will not lose everything if you file for bankruptcy.
Bankruptcy is for irresponsible, bad or poor people only.
Untrue. People from all income levels have filed for relief through bankruptcy.
I will lose my right to and control over my assets and finances if I file
Untrue. You are protected by the Bankruptcy Code. It protects you from actions that are taken against the debtor that could harm him or her.
If I file for bankruptcy, my credit will be ruined forever.
Untrue. Bankruptcy will stay on your credit for seven to 10 years. In fact, unpaid and delinquent debts will harm your score more than a bankruptcy. Through the responsible use of credit, it is possible to improve your score quickly. Using a single, low-limit credit card to pay for expenses like gas is an effective way to improve your score. However, you must make your payments every month, and you cannot carry a large balance.
When you work with us, you can have peace of mind that your case is in good hands. Request an assessment of your case today!