You may have you heard that new bankruptcy laws mean that there is no help for you or that you can no longer file for protection under the U. S. Bankruptcy Code. This is one of many bankruptcy myths. Numerous false claims and misinformation are constantly being spread in our community about bankruptcy laws.
I’ve compiled a list of the top bankruptcy myths, along with the reality behind them.
Under the new law, there’s no more bankruptcy and no more help.
It does not matter where you heard this, it is just not true! The truth is that you can do just about everything when you file under the new law that you could do under the old law. In some ways, the new law actually increased the benefits of filing for bankruptcy. As a result, many of my clients are actually getting better treatment under the new law than they could have gotten under the old law! Find out what filing for protection under the U.S. Bankruptcy Code can do for you by calling (817) 576-1889 to set up your completely free initial consultation.
Everyone will know that I filed for bankruptcy.
Unless you’re a high-profile individual, you’re not likely to see it in any newspapers. While it is true that bankruptcy is a matter of public record, there are too many people who file for bankruptcy that it is almost impossible for anyone to accidentally find out that you filed. Generally, only those you tell will know—although, I do recommend keeping it to yourself to avoid gossip. Ultimately, bankruptcy is as private as you want it to be.
You will lose all your property.
Most of my clients don’t lose anything! There are exemptions that can protect certain assets. Additionally, in most Chapter 7 cases, individuals who file do not possess property that is considered valuable enough for a trustee to go through the trouble of selling, or liquidating, for the purpose of debt repayment. In those situations where you have a high-value asset that may be at risk of liquidation, you do have the option to file Chapter 13 and pay off your debts over time. It is important that you understand that filing for protection under the U. S. Bankruptcy Code does not generally wipe out or get rid of mortgages or liens against your property. Therefore, if you want to keep any collateral property, you must keep paying off those loans.
I will never be able to purchase property.
This is completely false. The bankruptcy laws are intended by Congress to provide debtors with a fresh start. That “fresh start” includes the ability to own real estate and vehicles and any other type of property that you owned before filing. The truth is, however, that in the future you can buy, own, control and possess whatever you can afford. If you have or can come up with the money, there is no reason you cannot purchase property.
I will never get credit again.
The truth is that most of my clients find it easier to get credit after filing for bankruptcy.
With bankruptcy, your debt is eliminated or else better managed. This means that lenders and credit card companies will start coming to you with offers again. While this is a good thing, it is also something you should approach with caution and responsibility. You will likely be initially subjected to higher interest rates and down payments, and should be careful to make sure you don’t end up back in debt.
Good people don’t file for bankruptcy.
It’s just the opposite. Filing bankruptcy means you’re a very good person who is acting responsibly and exercising rights under the Constitution of the United States that have been enacted for individuals just like you. You have fallen on hard times and are now taking steps toward building a better future. You cannot be a bad person when you act within the law and on behalf you and your family.
Filing for bankruptcy damages credit for 10 years.
While, yes, your bankruptcy will be reported on your credit report for 10 years, this does not mean that it will have a negative effect on your credit score. The fact is that if you have made the decision to file for bankruptcy, it is highly likely that your credit isn’t doing too well to begin with. Bankruptcy gives you a chance to begin rebuilding it.
Married couples have to file for bankruptcy together.
While it may make sense and save money for both husband and wife to file for bankruptcy together, it is absolutely not necessary. In some cases, it actually makes more sense for only one spouse to file.
The law does not require married individuals to file with their spouses.
It’s really hard to file for bankruptcy.
Filing for protection under the U. S. Bankruptcy Code is not difficult in the hands of an experienced attorney. I will use experience to assist with your bankruptcy. With my help, filing bankruptcy is easy. The decision to file may be difficult, but once you make the decision, filing is easy. The relief you will feel by stepping up to your financial responsibilities and your family’s needs will make your decision to act worth it.
I have been practicing bankruptcy law for over 20 years, and I have helped thousands of families get the relief they needed and had a right to receive. When you want bankruptcy done right, you go to experienced attorneys. Huebner Law Firm, PC has that experience. I am one of the most knowledgeable debtor bankruptcy firms in Texas. I take pride in providing good, quality services at reasonable cost. Because my clients are satisfied with my legal services, I have a steady stream of referrals from them.
Even if you file, creditors will still harass you and your family.
As soon as you file, the Bankruptcy Court issues an order called the “automatic stay.” The automatic stay legally requires all creditors leave you alone and halt collections actions. A creditor is not allowed to have any contact with you under an automatic stay. This is very powerful. It is enforced by the courts and ensures your creditors leave you alone. If creditors violate the Automatic Stay, they can be severely sanctioned and penalized by the court. Fight back with the rights that you have! The U.S. Bankruptcy Code is one of your most powerful set of rights.
Once you reach out for the protection that only the U.S. Bankruptcy Code can provide, the creditor harassment stops completely. The protection and help that you get by taking advantage of the U.S Bankruptcy Code is that powerful. At Huebner Law Firm, PC, I am proud to be able to help families obtain this protection.
Filing for bankruptcy may cause marital issues that lead to divorce.
It is true that financial problems create marital issues.
Drowning in debt causes stress that can create a strain on your marriage. A lot of divorces are the result of such strains. However, filing for bankruptcy has actually helped thousands of couples to avoid divorce. Bankruptcy allows you to eliminate debt and relieve stress, which can ultimately begin to repair strains on your relationship.
You can’t get rid of back taxes through bankruptcy.
There are numerous ways to eliminate back taxes through bankruptcy. There are certain requirements that must be met, and not all taxes can be discharged, but filing for bankruptcy can absolutely help.
You can only file once for bankruptcy protection.
You will be able to file for bankruptcy more than once, after a certain amount of time has passed.
In order to file for Chapter 7 bankruptcy, the waiting period is eight years after a previous Chapter 7 and six years after a Chapter 13 bankruptcy. In order to file for a Chapter 13 bankruptcy, the waiting period is four years after a previous Chapter 7 and two years after a previous Chapter 13. That being said, my goal at Huebner Law Firm, PC is to make sure that filing one bankruptcy is enough to get your life back on track.
You can pick which debts and property to list in your bankruptcy.
You cannot select which property or debts to list. The law requires you to list all your property and all your debts, without exclusion. Most people want to leave out a debt because it is their intent to keep paying on it. You can achieve the same goal, even though you have to list the debt. If you want to keep paying on a debt after you file, you can. After you file, you can go back and pay anybody you want. Please remember that there are some debts you will be required to paying – such as loans on your home, car or truck – even if you list them in your bankruptcy. More importantly, as long as you stay current on the loans and keep your property properly insured, you get to keep the property. Under the U.S Bankruptcy Code, the creditor is forced to let you keep it and cannot take it back.
Call (817) 576-1889 for a Free Consultation
If you had the chance to learn the truth, wouldn’t you want to know?
- What if everything you’ve ever been told about bankruptcy is not true?
- What if everything you have come to believe about bankruptcy is false?
- What if filing bankruptcy is by far the absolute best thing in the world for you?
It would be a shame if never found out the truth, and because you didn’t find out the truth, never filed bankruptcy, and because you never filed, your family had to suffer the consequences of your misunderstandings for many years.
Do yourself a great favor: Call Huebner Law Firm, PC Firm at (817) 576-1889 to set up your free consultation. The appointment will cost you nothing and there is no obligation on your part to retain us as your attorneys.
You will leave that appointment with the truth and be better equipped to make educated decisions that will affect you and your family for the rest of your life. Please do not make those decisions without having spoken to us.
“We gathered all the information he needed, we took the credit counseling classes mandated, and showed up to give our testimony. Everything else he took care of for us taking the bulk of worry off of us. I’d recommend Mr. Huebner.”
“We had such a great experience with William Heubner. He was very reassuring through the entire bankruptcy process.”
“Mr.Huebner gets you all the help you need in a timely and efficient manner. I had no issues whatsoever!”
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