12 Myths about bankruptcy

Bankruptcy is great. It is not a decision taken lightly. Unfortunately the decision by the number of lies and rumors of bankruptcy and insolvency is rendered even more complicated process. It is important to know the truth about what you get if you produce. CreditorsMyth # 1: sometimes you pay nothing to your CreditorsThis is true, but the bankruptcy it depends the type registration. Chapter 13 and 11 bankruptcy require a structure of outstanding loans debt at the end of the period of bankruptcy is unloaded. Chapter 7 bankruptcy, you pay no your debts off directly, but your seized real estate auctions, to reimburse your creditors.Myth # 2: all debts can be ErasedNot all debts are discharged. Include those that do not generally supported: unpaid; control debt which obtained by fraud or deception. Debt of the violations of the securities; Not listed debt on the Court. Liabilities which but were not previous you bankrupt paid at the time; Maintenance for children or alimony. Liabilities from a former spouse after divorce. Liabilities arising from the loss of continuation of injury DUI. and students loans.PropertyMyth # 3: you lose all your belongings to Chapter 7 BankruptcyIf value less $10,225 or $20,450 is all your belongings, if you cannot file of a few. If the property value is this amount, you should probably start to keep your House. If your country is less than a hectare and cool less than $ 200,000, you can choose your home to keep although it will reduce the amount of other assets that you are authorized keep.The remains yours fall into categories, such as household effects, personal items and work item. Adds the value of each Kategoriewirdbe and then # 4 be kept allows to two categories.Myth you: you can keep your property without paying off your DebtsIf file you Chapter 7 and more than $10,225 and $20,450, if you are selling Fdépôt as pair, lose a lot of your assets and it will pay off your debt. If you filed for chapter 13 or 11 need to complete a loan program of repayment. If these repayment plans to follow your bankruptcy be removed completely. Bankruptcy is not a "get out of jail free" card.CreditMyth # 5: it is impossible, may be difficult for the reconstruction of your CreditIt rebuild your credit after bankruptcy, but it far from impossible. Through hard work and diligent, Sterling can have a credit note, before credit - is the bankruptcy score even from your report, 10 years. Myth # 6: filing bankruptcy will improve your CreditThis a is not true. When you file bankruptcy, make the worst possible black mark on your credit report. Although it is possible to rebuild your credit after bankruptcy it is a difficult task and will never fully help your score.Who needs BankruptcyMyth # 7: bankruptcy is only for people who can't control your SpendingThis is a common misconception. Unfortunately, many people have this attitude that you suddenly men are facing foreclosures and repo. The fact is, while some people filing bankruptcy just reckless buyer normal are that most of these people are responsible adults that got into serious and unexpected financial difficulties. The reason for people to file bankruptcy is fresh medical - you are totally unpredictable events.Myth # 8: you cannot use bankruptcy tax of IssuesThis is mostly true, but there is so little how dieKonkurs control. To füto qualify this good break all must have filed your income tax returns and back taxes must longer than three years old.RelationshipsMyth # 9: If you are married, the two spouses must FileJust as control, a couple can selected, collectively or individually. When that's released few accounts, the person who has not taken is always his Aplicación de Créditd of bankruptcy on these statements. In addition, both are refund for the full balance of the person who has no filed.Myth # 10 officials that a debt, the creditor requires some: the world is KnowBankruptcy is a public body, but this does not mean that everyone will know your deposit. Provided that a prominent person who are covered by the media, there is a small chance you will everyone about your bankruptcy proceedings be it unless that say them.Filing several TimesMyth # 11: you can only OnceYou can submit file more than once, but there is a waiting period before you can resubmit. This is to avoid misuse of bankruptcy before process.Myth # 12: you can file under often as WantYou can several times, but there is a waiting period. Have eight years wait a second chapter 7, two years since filing Chapter 13 repeat for four years between filing a chapter 7 and chapter 13 produce. The deposition of several times, it may be impossible for you never receive credit become new.