Bankruptcy Myths

Phoenix Chapter 7 and 13 Bankruptcy Lawyer

Myths about bankruptcy have always existed since the inception of the laws. The new laws enacted in October of 2005 raise more questions and create even more myths and misconceptions about filing bankruptcy. At Gukeisen Law Group, P.C. in Phoenix, Arizona, we communicate the new Chapter 7 and 13 bankruptcy laws to our clients in a clear and understandable manner to dispel any false impressions about bankruptcy.

Perhaps the largest myth is the idea that you no longer can file for bankruptcy after the new laws took effect. Chapter 7 and 13 bankruptcy attorneys were taking to the airwaves, communicating a sense of urgency to file bankruptcy now because you would not be able to in the future. Simply put, that is not true. At Gukeisen Law Group, P.C., we find that 95% of our clients will still qualify for a Chapter 7 bankruptcy. Even if the new laws preclude them from filing, they may still qualify for a Chapter 13 bankruptcy.

Individuals who have Chapter 7 and 13 bankruptcy as options still hesitate to file because they fear losing their house or car. The laws in Arizona provide you with many options in keeping your house and car, including paying off the delinquent payments in a Chapter 13 debt restructuring. If your house goes into foreclosure, the filing of a bankruptcy can stop that process, along with the scheduled sale of your home.

After the filing, your opportunity to secure credit or get approved for a loan does not end. Post-bankruptcy is an opportunity to slowly and diligently restore your credit. That can be done through regular payments to a credit card with a low credit limit or an auto loan that may have a higher interest rate. There is life after Chapter 7 and 13 bankruptcy.

For more information or to schedule an appointment regarding Chapter 7 and 13 bankruptcy filings, please contact us.

To learn more about bankruptcy, please visit our Bankruptcy FAQs.