Bankruptcy Myths

Most people know very little about bankruptcy. Often, they have misconceptions about what happens in a bankruptcy and its consequences. As a Tampa bankruptcy lawyer who has helped countless individuals through the bankruptcy process, I can help you understand the actualities of bankruptcy.

The Public Record Myth

One bankruptcy myth is that everyone will know or be able to find out about your bankruptcy. While it's true that a bankruptcy is a public record, no one is going to go looking through public records to discover your bankruptcy unless you are high-profile public figure. In order to get information about your bankruptcy case, another person would have to know your social security number. Unless you tell them, your friends, family, co-workers, boss, and others are not going to find out.

The Personal Failure Myth

When contemplating bankruptcy, many people believe that a bankruptcy filing shows that they have failed or are somehow lacking in pride or morality. Most bankruptcies, probably close to 90%, are filed because of a job loss, divorce, or illness. These are factors that can affect anyone and do not reflect poorly on the moral character of the individual involved. In today's recessionary times, more and more consumers are facing severe financial troubles. Bankruptcy is a legitimate method for handling this.

The Loss of Everything Myth

Many people are afraid to file for bankruptcy because they believe they will lose everything they own. This is not the case. Many bankruptcy cases are no-asset cases where the individual keeps what he owns. Also, bankruptcy allows you to keep your property. Without it, your creditors can foreclose on your home or repossess your car.

The Myth That You Will Never Be Able to Get Credit Again

This is plainly untrue. If it were true, no one would ever file for bankruptcy. You can begin to rebuild your credit immediately. Making prompt payments on your house, car, secured credit cards, and other bills will restore your credit-worthiness over time. Once you prove your ability to make payments, credit limits will be raised on your secured credit card and, eventually, your credit score will go up.

If you have further questions about bankruptcy, its consequences, and effects on your life, please contact me. As a Tampa bankruptcy attorney, I can ensure that you are properly informed on all aspects of Florida bankruptcies and guide you through the legal process.

Contact the Tampa Bankruptcy Attorney at the firm today!