Common Bankruptcy Myths
In 2005, Congress enacted major changes to the U.S. Bankruptcy Code. Unfortunately, much misinformation has circulated about the new bankruptcy laws.
If you are thinking about bankruptcy, don't let bankruptcy myths get in your way. Here are a few facts everyone should know:
- You can discharge credit card debt.
- You can discharge medical bills.
- Your employer can't fire you for filing bankruptcy.
- Federal income taxes may be discharged (they must be three years old and timely filed).
- You can rebuild your credit after bankruptcy.
- You can save your home and your car.
To learn more, contact the law office of Theron D. Morrison. Call 801-528-4883 to schedule an appointment at one of our convenient office locations in Ogden, Sandy or Logan, Utah.
What about my Credit Rating?
Many people avoid bankruptcy because they fear it will hurt their credit rating. In the short term, filing bankruptcy may have a negative impact on your credit rating. However, people are often surprised to discover how quickly they can repair their credit after a bankruptcy.
Your credit rating is determined by a comparison of your debt-to-income level. When you file for bankruptcy, you lower your debt load. If you do not file bankruptcy and continue maintaining a high debt load and making late payments, you are only delaying your ability to improve your credit rating. By filing bankruptcy now, you can begin the process of restoring your credit now.
Contact a Utah Bankruptcy Attorney
If you need a fresh start and want to put debt worries in the past, contact the law office of Theron D. Morrison today. To schedule a free consultation with a bankruptcy lawyer at our firm, call 801-528-4883 or contact us by e-mail.
