Many people who qualify for and could benefit from bankruptcy don’t file the necessary paperwork because they believe one or more common myths. Unfortunately, because they don’t take the time to learn just how bankruptcy works and how it can help them resolve their financial problems, they struggle for years to pay bills that could have been eliminated with the help of a Chapter 7 Bankruptcy Attorney in St. Louis County MO long ago.
The most common myth is that if a person or married couple files for bankruptcy, they will have to sell everything they own. The truth is, people who qualify for Chapter 7 bankruptcy are often able to keep what they own. Although Chapter 7 bankruptcy will not stop a lender from repossessing a home or a vehicle, those who only own a modest amount of personal property typically get to keep all of their belongings, including clothing and household items they use every day. After learning this is only a myth, people who are deep in debt might feel a great sense of relief.
Another common misconception is that people who file for bankruptcy protection will never be able to buy a home, get a car loan, or qualify for a credit card. In fact, many mortgage lenders will consider a home buyer who had a bankruptcy discharged two or three years prior to their application. While it might take some time to rebuild credit after filing bankruptcy, and traditional lenders might consider someone who had all of their previous debts discharged a high credit risk, it’s not impossible to get credit soon after bankruptcy.
Bankruptcy isn’t the answer to all debt problems, and a Chapter 7 Bankruptcy Attorney in St. Louis County MO could answer questions related to a client’s unique situation. However, it’s important to address financial issues as they occur to avoid getting into more trouble and paying more than necessary to get rid of excessive debt. Those who think they might be able to resolve their current financial stress with bankruptcy can click here to learn more about their options and get in touch with an experienced attorney.
