Bankruptcy is something that people talk about without really knowing the facts. To find out if bankruptcy is the right option for you, it is important to speak with an experienced bankruptcy attorney.
Let’s discuss five common misconceptions about filing for bankruptcy in Ohio.
Filing for bankruptcy means that I’ll lose my house, vehicle and other possessions. Many people believe this to be true, and that keeps them from exploring their full range of options for debt relief. The reality is that certain assets are exempt from bankruptcy in Ohio. Those assets may include your house, your car and other property such as your personal items.
Everyone I know will find out that I filed for bankruptcy. For ordinary people who aren’t famous, it’s very unlikely that anyone else will find out about a personal bankruptcy filing. Bankruptcy records are public, but they are not easily accessible for most people, and typically only famous people’s bankruptcies are reported in the media. The reality is that people from all walks of life need debt relief for a variety of reasons, and your family and friends don’t necessarily have to know that you’ve filed for bankruptcy.
Filing for Chapter 7 or Chapter 13 is a difficult process. While it’s true that filing for personal bankruptcy is not an extremely complicated matter, it is highly recommended that you hire a bankruptcy attorney to ensure that you have explored every available option for debt relief — and to ensure that the filing is done correctly. A mistake could result in added costs, as well as delay the debt relief you need now.
Filing for bankruptcy means I’ll never be approved for a credit card again. The truth is that many people are able to get credit cards again after seeking bankruptcy protection. It may take some time, though, before lenders start offering cards. The cards will also likely have high interest rates. Still, if you need to buy a car, you should be able to get the credit you need to make the purchase.
Married couples always have to file jointly for bankruptcy. The reality is that every situation is different, and it doesn’t always make sense for married couples to file for joint bankruptcy. If the debt is in your name only — and not your spouse’s — it might make sense for you alone to file for bankruptcy protection. However, if you and your spouse are jointly liable for the debts, then you may want to file together. If both of you are liable for the debt but only one of you files, the creditor may try to go after only one of you for the entire debt.
To ensure that you are aware of every available option for a fresh start, speak with an experienced debt relief attorney today.
For more on that, please see our overview of bankruptcy in Ohio.