Ohio Bankruptcy Myths and Reality

Youngstown, Canton, and Akron Bankruptcy FAQ

Bankruptcy is a right that is afforded to every American through the United States Constitution. However, there are many myths out there surrounding bankruptcy. If you are considering bankruptcy, it is important that you are equipped with information that can help you make a positive decision about your financial future.

At Graham & Associates Law Offices, LLC, we provide bankruptcy representation to clients throughout Ohio. For more information about bankruptcy filing in Ohio, please contact us online.

Common Bankruptcy Myths

Myth: Filing bankruptcy will ruin your credit. After bankruptcy, you will have little debt, if any, and you may be a better candidate to obtain credit from potential future lenders because you will be able to afford the payments on your new debts.

Myth: Bankruptcy relief is no longer available. Bankruptcy law changes in recent years made filing bankruptcy more complicated, but not impossible. Almost all of the relief formerly available through bankruptcy survives in today's Bankruptcy Code. Graham & Associates makes it a priority and invests a great deal of time and effort to keep up on all the law changes and court rulings that affect our clients.

Myth: You can't file bankruptcy if you have a job. This is absolutely not true. Many of our Chapter 7 and 13 clients have employment. If your household makes less than the Ohio median average, you may qualify for Chapter 7, regardless of the source of income. Even if you have a job where you earn an above average income, you may still qualify for some type of bankruptcy or other debt relief.

Myth: You'll never be able to buy a home or rent an apartment if you file bankruptcy. Most people can qualify for mortgages after a bankruptcy filing, often within two years of their bankruptcy discharges. Virtually all of our past clients have had little or no trouble renting immediately after their bankruptcy filings.

Myth: Medical bills can't be discharged in bankruptcy. Almost all unsecured debts such as credit cards, personal loans and medical bills are dischargeable in bankruptcy.

Myth: People who file bankruptcy can't get credit for 10 years. People in Chapter 13 often borrow money and/or refinance homes during and after their cases. People who've filed Chapter 7 often get credit cards, car loans or other credit offers shortly after their cases are discharged.

Myth: You lose everything you own in bankruptcy. There are laws called exemptions in bankruptcy that provide for assets that you can keep during and after bankruptcy. In fact, the majority of bankruptcy cases are "no asset" cases in which the debtor keeps everything he or she owns.

Myth: There is a minimum amount of debt required to file bankruptcy. Bankruptcy law does not set any minimum amount of debt necessary to file. If the debt appears to be beyond your ability to pay, you can elect to file bankruptcy if it represents a smart choice for your personal and financial situation.

For Ohio Bankruptcy Information, Call the Lawyers at Graham & Associates

The only way to determine if bankruptcy is right for you is to consult with an experienced bankruptcy attorney. Our firm's focus is bankruptcy law. Call us toll free at 866-529-9010 or contact us online to arrange a free, fast and friendly evaluation. Weekend and evening hours are available by appointment. Payment plans are always available.

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.