You began your adult life with intentions of working hard, finding success and being able to afford a comfortable lifestyle. However, unforeseen circumstances, such as a job loss, hospital stay or business failure, can derail your future and land you in serious debt.
Negative beliefs about bankruptcy can cause you to struggle much longer than you should. Here is the truth about these three bankruptcy myths.
1. You will lose everything
Bankruptcy is a pathway to freedom from debt, but it does not take everything you own in the process. While you may forfeit some belongings to repay your creditors, you can usually protect your home, retirement accounts and even vehicles. Additionally, you will still be able to purchase and own possessions in the future.
2. Your spouse will leave you
If you think acknowledging your money problems is going to be the last straw for your partner, you may have deeper issues to address. Generally, it is the stress of not being able to pay bills that cause familial strife. Bankruptcy offers a solution to your financial woes that frees you from overwhelming debt and incessant calls from creditors. Filing for bankruptcy can be the first step to mending your broken relationship and starting over.
3. Everyone will know
Bankruptcy filings are indeed matters of public record, but unless someone is searching for dirt on you, the only people in your circle who will know are those you inform.
The New York bankruptcy process offers relief from difficult times and allows for a fresh start. If you are struggling to get out of debt for any reason, you should know and understand your options under the law.