Bankruptcy law is complicated. That is why people believe that the common myths about it. There are several reasons that you do not need to be afraid to file for bankruptcy.
Bankruptcy Doesn’t Permanently Ruin Your Credit
Many people are afraid to file for bankruptcy because they think that their credit will be permanently ruined. Your credit score will take a hit when you file for bankruptcy. It will be nearly impossible for you to get a home or auto loan right after you file for bankruptcy. However, the hit that your credit takes is only temporary.
In fact, you can start rebuilding your credit as soon as you complete bankruptcy. You can expect your credit score to increase drastically within two years if you start working on it as soon as you file for bankruptcy. A bankruptcy attorney can help you work on your credit.
You Won’t Necessarily Lose Everything
Many people think that if they file for bankruptcy, then they will put out on the street with nothing to their name. However, you will likely be able to keep most of your property. Some of your assets can be taken in order to pay off your debt, but your clothing, vehicles and home are safe.
There are also items that the creditor don’t want, such as smart watches and flat screens. Your bankruptcy attorney can tell you which assets you can and cannot keep. High-value items, such as yachts, will likely be taken.
It Isn’t Hard for You to File for Bankruptcy
There are a lot of things that you will have to know about bankruptcy law. However, it isn’t that hard for you to file for bankruptcy. It isn’t a good idea for you to try to file for bankruptcy without an attorney.
The attorney will tell you which type of bankruptcy is best for you to file. They can also help you fill out all of the paperwork. They will ensure that everything goes smoothly.
You Can File for Bankruptcy More Than Once
Bankruptcy should always be a last option. It is important for you to work on managing your money and credit so that you don’t have to file for bankruptcy again. However, you can file for bankruptcy more than once if you need to. If you file for chapter 7 bankruptcy, then you can file once every eight years. You can file for chapter 13 bankruptcy once every two years. Keep in mind that it typically takes three to five years to complete chapter 13 bankruptcy.
If you are in need of a bankruptcy lawyer, then you can contact Fair Fee Legal Services.