I'm married, so don't both my spouse and I have to file for bankruptcy?
This is false, both spouses do not have to file for bankruptcy. If you
don't have joint debt, one spouse can file for bankruptcy to get relief
from their own debt and it does not impact the other spouse's credit.
Isn't it true that you can't get medical bills discharged in bankruptcy?
No, this is simply not true. Almost all unsecured debt can be discharged
in bankruptcy, but the bill collectors won't tell you that. In fact, they
are in large part the reason for this myth. Medical bills, credit card
debt and other unsecured debt can all be discharged in bankruptcy.
Taxes from prior years are not dischargeable in bankruptcy.
This is also false. If you meet certain qualifications, back taxes including
federal, state, personal property, local and inheritance taxes can be
discharged or mitigated in
bankruptcy. Again, bankruptcy relief is available for back taxes once certain qualifications
have been met. It is a simply untrue blanket statement that all back taxes
are not dischargeable in bankruptcy.
A bankruptcy on your record will make it impossible to get credit in the future.
On the contrary, most people who have filed for
Chapter 7 bankruptcy soon get overwhelmed with offers for credit cards soon after their debts
have been discharged in bankruptcy. Many of our clients have successfully
applied for loans and mortgages in as little as 2 years after their discharge.
The interest rates offered to them may not be the best, but after a couple
of years of making payments on time, their credit scores rise again, and
their creditworthiness makes them eligible for low interest rates.
For more information about bankruptcy myths and how we can help you get
a new start financially, please
contact us for a consultation.