“My credit will be ruined forever if I file for bankruptcy.”
While bankruptcy does stay on your credit report from seven to 10 years (depending on which type of personal bankruptcy you file), often times your credit is even better (with time) because you’ve taken control of your finances and have attainable goals.
“I can get rid of all of my debt through bankruptcy.”
There are certain types of debt that are not able to be discharged through bankruptcy, such as student loans (unless undue hardship is proven), criminal restitution, spousal support, and child support. Also, debts that came about as a result of some type of improper behavior (such as fraud) are deemed non-dischargeable. Certain types of taxes are not typically discharged either. For more in-depth info regarding this subject consult with a bankruptcy attorney.
“Only irresponsible people file for bankruptcy.”
Even thought the economy is on the upswing, many people have been forced to file for bankruptcy due to past economic issues, whether it was job loss, divorce, injury, the cost of living, student debt, or medical bills. Today, many families with normal spending habits have filed for bankruptcy to get a fresh start.
For more information regarding your specific situation, contact Minnesota Bankruptcy Attorney Gregory J. Wald at 952-921-5802 or at BankruptcyMinn.com for a consultation.