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Myths Debunked

1.   "I will automatically lose my home, vehicles, and valuables if I file."

This myth is not true. Under the bankruptcy code you are permitted to keep a great deal, perhaps all, of your property by "exempting" it. We can explain how this process is handled when you come in. Of course, you must continue to make payments on the collateral you are keeping.

2.   "You can't file on judgments or credit cards."

Not true. If handled properly credit card debt is generally dischargeable. Possible exceptions include charges on your credit cards made close to the filing date and charges made fraudently. “Judgments” for credit cards, medical bills, repossessions and the like are also generally dischargeable. A judgment is a court order which says the person or company that just sued you wins and can now collect against your income and assets. The problem with judgments is that you are subject to collection efforts, such as garnishments, up until your case is actually filed.

3.   "I can stop a foreclosure using a 'Chapter 13 Bankruptcy' anytime."

Not true. In order to stop a foreclosure a Chapter 13 case must be filed before the actual foreclosure date. It takes time to see if you qualify and to get the papers filed so move quickly if stopping a foreclosure is important to you.

4.   "You can't pay attorney's fees in installments."

At Garrett Law Offices you can. The law requires, however, that while we can work on your petition, it can't be filed at the courthouse to get the benefit you want until the attorney's fee quoted and other fees have been fully paid. Attorneys are not supposed to “finance” a bankruptcy filing.

5.   "All attorney's charge the same for bankruptcy preparation."

Not true. Charges range based on an attorney's experience, effectiveness, local requirements, and the unique circumstances of each client. In all cases, however, the court gets the last word. All fees must be disclosed and are reviewed. Please see our "Competitive Price Promise" link.