Bankruptcy Myths Charleston Lawyer

There are many myths and misconceptions about bankruptcy that cause confusion and fear in the minds of people struggling with debt. If you are considering bankruptcy, it is important to learn the facts from a credible source.

In North Charleston, South Carolina, people turn to the Steadman Law Firm, P.A., for answers to their questions about bankruptcy. For more than 30 years, attorney Richard A. Steadman, Jr., has been helping clients make informed decisions about their financial futures. Read the information below to dispel common myths about bankruptcy, or contact a Charleston bankruptcy lawyer to discuss your specific options.

Common Bankruptcy Myths

I will lose everything I own if I file Chapter 7 bankruptcy.

Not true. While it is true that some of your property may be sold off to repay debts in Chapter 7 bankruptcy, the law allows you to keep certain exempt property or a specified equity value in certain assets (such as your home, car, or certain household goods.) If you do not have any property or assets that can be sold, your bankruptcy case may be considered "no-asset." In no-asset cases, you won't lose anything.

If I file bankruptcy, my credit will be ruined forever.

Not true. If you are considering bankruptcy, it is likely that your credit is already damaged. After obtaining debt relief through bankruptcy, you can make a fresh financial start. Although your credit may be temporarily damaged by bankruptcy, we often see credit scores go up over time after filing bankruptcy.

Tax debt can never be discharged in bankruptcy.

Not true. Under certain circumstances, it is possible to discharge certain tax debt in bankruptcy. This is a complex area of bankruptcy law, so it is important to discuss your specific circumstances with an experienced bankruptcy attorney.

Bankruptcy is a sign of financial irresponsibility.

Not true. We live in tough economic times. People of all ages, education levels, and incomes can find themselves struggling to make ends meet. Bankruptcy is a legal mechanism available to be used by people who need it.

My employer can fire me for filing bankruptcy.

Not true. You are under no obligation to tell your employer if you file for bankruptcy. Additionally, it is against the law for your employer to fire you if you file bankruptcy.

Contact a Chapter 7 and 13 Debt Relief Attorney Serving Charleston, Summerville, Goose Creek, Moncks Corner and Surrounding Areas

For more information about bankruptcy, contact our law firm to schedule a free initial consultation. We are available during regular business hours and by appointment at other times. For your convenience, we offer payment plans for our clients who need them.

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.