Common Bankruptcy Myths in Tennessee

Did You Know About These Bankruptcy Misconceptions?

Although most people have a general knowledge about bankruptcy, few people know exactly how it works and find it confusing. Add to that, for many people, the things they think they know about bankruptcy may actually be wrong.

Our job at Kerney Law Firm is to take a look at your financial situation and give you the information you need to make an educated decision about whether or not to file for bankruptcy, and whether to file for bankruptcy.

Christopher Kerney is an experienced bankruptcy lawyer. Bankruptcy law is the only kind of law we practice at our law firm.

Don’t Let The Myths Stop You From Filing

Filing for bankruptcy is a serious decision and one that most people resort to when they have exhausted other possible avenues for settling burdensome debt. You may be among those who are struggling financially but have heard terrible tales about bankruptcy and wonder if you should even consider filing. Here are 8 myths about this process that should be debunked.

Below are some common myths about bankruptcy:

1. I’ll end up with nothing. You never lose everything. You can always keep your clothing and personal items, and you can almost always keep your car and your house. Please visit the exempt property page for additional information.
2. I’ll never be able to buy a house again as long as I live. Not true. Lenders are in the business of lending money, after a period of time they will consider you again for a home loan.
3. The law has changed making it impossible to file. It is true that the law changed in 2005 but it is not true that it is impossible to file for bankruptcy. We can help you.
4. My loan co-signer will have to pay my debt. Not true. Even in a Chapter 7 bankruptcy, you can voluntarily make payments on co-signed debt.
5. My credit will be ruined forever. It may be impossible to get a good loan immediately after filing for bankruptcy. However, the ability to get a good loan will improve over time as long as you have a steady source of income and you pay your bills on time after the bankruptcy.
6. Only financial irresponsible people file for bankruptcy: The three main reasons people decide on bankruptcy are divorce, costly medical care or loss of a job. In each case mounting debt is, of course, a factor, but irresponsibility or credit abuse are not accurate terms to apply to the problems.
7. Bankruptcy will discharge all past debts: In general, filing bankruptcy enables you to start afresh and turn a new page in your life. However, there are certain debts that cannot be removed. Any domestic support obligations you have, such as child support or paying alimony, will not be discharged by the court under any circumstances. Restitution because of a crime is another debt that stays with you.
8. Bankruptcy only requires filling out forms: You may decide that bankruptcy is the best way for you to handle overwhelming debt, but the process involves far more than just filling out forms. Bankruptcy is a serious matter with the potential for litigation. The forms you do complete have legal implications. They are filed in federal court and reviewed by trustees whose job is to liquidate your assets.

Time to seek legal help

Just the thought of filing for bankruptcy may be enough to keep you up at night. However, if you are tired of worrying about debt, it may be time to contact an experienced attorney who handles bankruptcy cases. You can get valuable advice and support – and begin to enjoy quality sleep once more.

Bankruptcy And Starting Over – Call 615-206-9900

Stop tossing and turning due to money worries. Our Tennessee law firm helps individuals and families in Gallatin, Portland, Hendersonville, Lebanon and the surrounding area. Let us evaluate your financial situation and help you identify your options. Your first consultation with a lawyer is free with no obligation. Call or contact us online today.

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.