You might know a lot about bankruptcy or very little, but in either case, there is a chance you may believe some common misconceptions about bankruptcy. Here are three common misconceptions people often believe that are not true.
Bankruptcy takes forever
The first misconception many people believe about bankruptcy is that it takes forever. A lot of people feel like if they file for bankruptcy, they will be stuck in it for the rest of their life, and this is simply not true. While a Chapter 13 case will take a lot longer than a Chapter 7 case, it still will only last for 5 years at the most. A Chapter 7 case, on the other hand, can be completed within just six months of the date you file your paperwork. As you can see, bankruptcy does not take forever; it is actually relatively quick, especially if you use Chapter 7.
Bankruptcy is intimidating and scary
Secondly, many people feel that bankruptcy is scary and intimidating, and this too is a misconception. While meeting with a bankruptcy trustee can be intimidating, you will likely only have to do this one time during the entire process. The meeting may last for 30 minutes or a little longer, but that is all, and you may never have to go back. Most bankruptcy lawyers are compassionate and understanding, which is also important to know if you are afraid that meeting with one will be scary. The entire process is really not scary at all, and this is really important to know if you think that bankruptcy would be right for you.
Bankruptcy will ruin your credit
The third misconception many people believe is that bankruptcy will ruin their credit. While there may be some negative effects initially after you file, the effects will not last long, especially if you work at rebuilding your credit afterwards. In fact, it is important to know that you will likely be eligible to get credit cards and loans within just a few months after you file. If you do this, it can help you build your credit faster, and this will reduce the negative effects bankruptcy ca have on your credit.
These three misconceptions might be things you believed, but they simply are not true. If you would like to learn more about bankruptcy and what it is really like, schedule an appointment with a lawyer like Charles J Schneider PC. Meeting with a lawyer will help you learn the truth about bankruptcy.