Dispelling Myths About Filing Bankruptcy in Texas
There is a lot of misinformation about bankruptcy. Some of the most common myths come from credit card companies that are trying to scare people away from filing bankruptcy.
At the Maida Law Firm, we offer a free initial consultation to replace misinformation with a clear understanding of the facts based on the particulars of your financial situation. We have offices in Beaumont and Houston and serve clients throughout southeast Texas and the Texas Gulf Coast.
These are some of the most common bankruptcy myths that we hear:
Myth: You can't file bankruptcy if you have a job.
Fact: Most people with serious debt problems are eligible to file either Chapter 7 or Chapter 13 bankruptcy.
Myth: Filing bankruptcy will ruin your credit.
Fact: If you are behind on your bills, your credit may already be about as low as it can go. Filing bankruptcy can actually be the fastest way to rebuild your credit.
Myth: You will lose all of your property if you file bankruptcy.
Fact: In Texas, you can keep all equity in your homestead, your retirement savings, and up to $60,000 in personal property when you file bankruptcy. You can also keep your car and home as long as you continue to make payments. Only an experienced bankruptcy lawyer can tell you if you have any assets you would lose.
Myth: Debt settlement or consolidation is an alternative to filing bankruptcy
Fact: In most cases, debt settlement and consolidation services only land a person deeper into debt and may even result in a large tax bill to the IRS. The only sure way to discharge debt without creating a tax obligation is by filing bankruptcy.
Contact Our Beaumont Chapter 7 and Chapter 13 Bankruptcy Lawyers
Our attorneys offer a free initial consultation to dispel bankruptcy myths and answer your questions about bankruptcy. Call 409-291-5117 to schedule a consultation at our Beaumont office or 713-987-3910 to schedule a consultation at our Houston office.
