Common Bankruptcy Myths in Kissimmee
Guidance From Our Bankruptcy Law Firm
At Carmona Law, we help people find much-needed debt relief by guiding
them through the
bankruptcy process. When we initially meet with a client in a consultation, we will
not only answer their questions to make them feel more knowledgeable and
confident about the process, but we strive to debunk any bankruptcy myths
that they have heard.
While bankruptcy isn't for everyone, for some of the individuals and
married couples that walk through our doors, filing for bankruptcy can
relieve stress, it can free up the family's disposable income, and
it can give them the second chance they so desperately need.
What Are These Common Misconceptions?
If you have heard rumors that are holding you back, our Kissimmee bankruptcy
attorneys can set things straight so your decision is a completely informed
one, and not based on fiction.
Bankruptcy ruins your credit. While bankruptcy does stay on your credit for 10 years, it doesn't
have to mean that your credit won't recover before then. When a debtor
applies a few simply credit rebuilding steps, it is possible to achieve
a fico score around 720 within two years of a bankruptcy discharge!
People file for bankruptcy because they can't control their spending. Most people who file for bankruptcy do so for reasons beyond their control.
Situations such as extended periods of unemployment, medical bills, accidents,
illness, a sick child, and divorce are the predominating causes of bankruptcy.
Chapter 7 discharges all debts. A
Chapter 7 does discharge certain unsecured debts such as credit cards and medical
debts, but not all debts are discharged in a Chapter 7. For instance,
spousal support, child support, student loans, court-ordered fines, and
victim restitution cannot be discharged in bankruptcy.
People who file for bankruptcy should ban credit cards forever. Even if credit cards got you into the mess in the first place, after filing
for bankruptcy credit cards are your best friend. One of the surest ways
to rebuild one's credit following a discharge is to acquire credit
cards, to charge only a small amount, and to pay them off in full every month.
You can't file bankruptcy if you have a good job. The "means test" was designed to save Chapter 7 bankruptcy for
low-income debtors who really need it. Those debtors who earn too much
to qualify for a Chapter 7 will be diverted to filing a
Chapter 13 instead. While the debtor makes payments over 3 to 5 years, the debtor
pays all or a portion of their debts according to the amount of their
debt and their ability to pay it back. The idea of a Chapter 13 is to
make sense and encourage debtors to enter into an affordable repayment plan.
Contact a Florida Bankruptcy Lawyer Today - Free Evaluation
If you want to explore your bankruptcy options, the sooner you get started
the better. We invite you to
contact our bilingual law firm to meet with one of our attorneys in a
free consultation. We would be happy to discuss the details of your case and advice you
of all of your debt relief options.
Serving all counties in Florida, Puerto Rico and Colombia, you have nothing
to lose by giving our office a call today.