Bankruptcy Myths in Glen Burnie

Bankruptcy Lawyer Serving Anne Arundel County

There is considerable false and misleading information about bankruptcy that can influence a person's decision about taking advantage of this debt relief solution. Here are some of the more common myths:

If you file for Chapter 7, you will lose all of your assets.

In a Chapter 7 bankruptcy, many of your assets will be non-exempt from liquidation. Some people may not lose any assets at all. Various state and federal laws protect certain assets in a bankruptcy. Every situation is different and needs to be properly evaluated by a Glen Burnie bankruptcy attorney.

After bankruptcy, your credit will be ruined for 10 years

While it is true that bankruptcy is reported on your credit report for 10 years, the credit restoration process can begin as soon as your bankruptcy case has concluded. Many people are able to rebuild their credit well within the 10 year period.

You will never have credit again.

Once your bankruptcy petition has been approved, you can immediately begin the process of rebuilding your credit. A skilled bankruptcy lawyer from Ward Pratz & Associates, P.A. can discuss all of the steps you can take to improve your credit score, such as acquiring a secured credit card.

Taxes cannot be discharged through bankruptcy

The court will not allow unpaid taxes within the past three years to be discharged. Under certain circumstances however, unpaid taxes from earlier period can be eliminated. If you are in a financial bind and have unpaid taxes, ask a qualified bankruptcy attorney to review your finances to determine if any of your taxes can be discharged.

Our firm can give you complete information on the bankruptcy process so that you can make an educated decision regarding your financial condition. We can discuss any myths you may have heard that are preventing you from considering this helpful debt remedy. If bankruptcy is right for you, attorneys at our firm can confidently guide you through the entire process.

Contact a Glen Burnie bankruptcy lawyer for legal advice and assistance with bankruptcy.