As with any daunting decision with regard to your finances – which affect you, your family, your quality of life, and your future, the rumor mill tends to influence our decision making.  The following are a couple of myths attached to bankruptcy that should not keep you from either filing or at least making an inquiry to an experienced bankruptcy firm such as Sagaria Law.

1.    Bankruptcy filers lose everything they own.

In most cases, you are able to protect your car, your home, personal items, even retirement money and other assets.  Check your state bankruptcy laws, as each differ. An experienced bankruptcy attorney can help!

2.    If I file Bankruptcy I will get rid of my taxes

Typically, you cannot ‘get rid’ of taxes.  Making an inquiry to a knowledgeable bankruptcy attorney may include a discussion on tax bankruptcy to clarify your options.  Ask about your tax debt, especially if it is 3 years or older.

3.    I can max out my credit cards, then file Bankruptcy!

Do not be fooled.  This is considered fraud.  Not a good idea.

4.    Filing Bankruptcy means I will never get credit again.

You may not be able to race right out and buy an automobile, but all is not lost.  Most bankruptcy filers are able to obtain credit, albeit at a higher interest rate than you may have had pre-bankruptcy, from amenable lenders.

The lesson here is “don’t believe the hype.” Everyone’s financial circumstances are different and no one should make a decision based on a rumor or myth. Knowledge is power! Get yours at Sagaria Law.