Bankruptcy Myths

Chicago Chapter 7 & Chapter 13 Bankruptcy Attorney

There are numerous myths about bankruptcy. At the Law Office of Joseph P. Doyle we believe it is important for our clients to know the truth about filing for bankruptcy, including its advantages, disadvantages and what life is like after bankruptcy. Our website has a great deal of pertinent information in this regard, and we have also included some common bankruptcy myths to help clarify the subject.

Myth: My employer will be notified when I file for bankruptcy.

Fact: When a person files for bankruptcy, he or she does not need to send a notification to his or her employer. Although bankruptcy cases are public records, it is unlikely that anyone will find out unless you tell them, or unless you are a celebrity or prominent businessperson of some kind (in which case the press may publish information about a bankruptcy case.)

Myth: If I file for bankruptcy I will never be able to buy a home or a car.

Fact: Most debtors are definitely able to purchase a home or a vehicle even after filing for bankruptcy. It usually takes approximately 2 years until you may purchase a home, and less time for an automobile purchase or for credit card offers.

Myth: I will lose my house and my car if I file for bankruptcy.

Fact: Although Chapter 7 is associated with a “liquidation” of assets, this does not necessarily mean that you will lose everything, including your house and your car. These are protected to a certain degree in the bankruptcy process, and an attorney can help explain this in more detail as it may apply to your particular case. Chapter 13 bankruptcy provides even more protection to assets, as it is a reorganization of debt.

Contact the Law Office of Joseph P. Doyle today to learn more about bankruptcy in Chicago, Illinois.