Are Unfounded Fears Keeping You From Seeking Debt Relief?
Although bankruptcy is written into the U.S. Constitution as a remedy for honest debtors, there has always been a stigma attached to it. Some people feel ashamed or fear they will be judged. Some worry that their credit is ruined or believe they will lose everything.
At the law firm of David F. Cannon in Nashville, our lawyers have helped thousands of Tennessee residents obtain relief from crushing debt and creditor harassment through bankruptcy. We dispel the myths about bankruptcy and address the benefits and legitimate downsides. Our aim is to help clients make informed decisions and make the best of a bad situation.
The Stigma of Bankruptcy and the Truth About Life After Bankruptcy
So what does filing for bankruptcy mean? How will it really affect your life? What prevents people from filing for bankruptcy or makes them wait so long to seek relief?
Bankruptcy as personal failure — The economic downturn has forced record numbers of Americans into bankruptcy, mostly hardworking people squeezed by job loss, health issues, divorce and other hardships beyond their control. More than 1 million people of all walks of life file for bankruptcy every year. And you would be surprised by the famous and successful Americans who have declared bankruptcy.
Bankruptcy as personal ruin — You will not "lose everything" by filing for bankruptcy. Most people are able to keep their home, cars, retirement savings and other assets. If you do stand to forfeit property under Chapter 7, there are other options.
Bankruptcy will not ruin your credit. You probably have poor credit already if bankruptcy is even up for discussion. A bankruptcy does stay on your record for 7 to 10 years and it will drop your credit score a little bit farther initially. But with a fresh financial start, you can rebuild good credit in a few short years.
Bankruptcy as scandal — Bankruptcies are public record, but they are not published* in the local newspapers. Other than your creditors or a lender or employer who pulls your credit report, it is unlikely anyone will know you filed. The stigma of bankruptcy is not what it was years ago. It is viewed less as a scandal and more as a strategy to get out of a hopeless situation and move on with one's life.
*Small business bankruptcies do get listed because creditors must be notified and must approve a Chapter 11 reorganization.
Get the Facts From an Established Bankruptcy Law Firm in Tennessee
David F. Cannon is certified as a Consumer Bankruptcy Specialist by The American Board of Certification and The Tennessee Commission on Continuing Legal Education and Specialization. He has helped thousands of clients file for Chapter 7, 13 and 11 bankruptcy since 1991.
Call 615-800-3725, toll free at 877-696-8680, or e-mail our law office today to arrange a confidential consultation with one of our compassionate and knowledgeable attorneys.
We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.
