Common Bankruptcy Myths

If you have only heard negative stories about bankruptcy, and don’t

understand how it can help you, it can instill fear. The more we learn, the more empowered we are to make

informed decisions.

Here are 3 of the most common bankruptcy myths.

Myth #1 – You Will Lose Your Home

If you have only heard negative stories about bankruptcy, and don’t understand how it can help you, it can instill

fear. The more we learn, the more empowered we are to make informed decisions. Here are 3 of the most

common bankruptcy myths.

Myth #2 – Bankruptcy Destroys Your Credit Rating

Bankruptcy does destroy your credit while in bankruptcy, but once you receive your discharge you can rebuild it. Experts advise your credit rating can be rebuilt in 12 to 18 months. 

Be aware, other debt solutions also destroy your ability to get credit while you are enrolled in the program.

Myth #3 – Your Spouse is Liable for Your Debts

Only you are responsible for the debts incurred in your name. However, if you have a joint credit account both people are responsible for those debts.  If you declare bankruptcy your

spouse is only liable for the joint account debts. 

 There are many other myths and half truths

regarding bankruptcy circulating, so if you want the full truth meet with a Winnipeg bankruptcy trustee

for a free consultation. They will review your financial situation, and advise you of all possible

solutions.

Bankruptcy laws were created to help honest debtors with overwhelming amounts of debt get a fresh start. Don’t let myths, half truths, or fear rob

you of that opportunity.

In Manitoba or Ontario visit LCTaylor.com

Trustees are available to answer your questions at ourWinnipeg and Kenora locations.

Call us now to schedule your free consultation.