Los Angeles Bankruptcy Attorney

Common Bankruptcy Myths

If you are struggling under a large amount of debt, you may feel like there is no way out. You may be avoiding bankruptcy because you believe it will ruin your credit for the rest of your life. There are many common misconceptions and myths about bankruptcy that stop people from filing for bankruptcy and getting the relief they need. Contact a Los Angeles bankruptcy attorney today to learn more about how bankruptcy can give you relief.

The following are some bankruptcy myths that are not true:

• You can't file for bankruptcy if you have a job: This is not true. There are two types of bankruptcy, Chapter 7 and Chapter 13. Chapter 13 bankruptcy is for people who are employed or getting a stead paycheck through self-employment and can afford a repayment plan.
• Chapter 13 bankruptcy requires full repayment: This is not true. This depends on your income, your assets, and the experience and skill of your attorney. If negotiations go well, you may end up paying off a fraction of what you owe. Every case is unique and talking with an attorney can help you determine what you can afford.
• You will lose everything in bankruptcy: Many of your assets are protected from bankruptcy, such as pensions. You will not lose everything to bankruptcy, and in fact, the benefits of bankruptcy may far outweigh the costs.
• There is a minimum amount of debt required to file for bankruptcy: There is no minimum requirement to file for bankruptcy, though if you only have a small amount of debt, it ma y be advisable to try to settle your debt with your creditor instead. If you can prove that you do not have the means to pay off your debt, you can file for bankruptcy.

As you can see, many of the common myths bankruptcy are simply not true. Bankruptcy can be the only solution to getting out from under a large amount of debt. Contact us today to find out how to best resolve your personal or business financial difficulties.

Bankruptcy Lawyer Serving Los Angeles

At the Matthews Law Firm, we have over 22 years of experience, and strong ties to the community of Southern California. We can help you with all of your bankruptcy needs, including filing for bankruptcy, debt litigation, and finally, discharging your debt. We can also counsel you on how to best repair your credit after bankruptcy. We provide one-on-one service, and our experience in debt resolution allows us to find the best solution possible.

Contact a Los Angeles bankruptcy attorney from our firm today to find out if bankruptcy is right for you.