Bankruptcy Myths & Facts

Fact: Filing for bankruptcy will cause restrictions on your credit for about 7-10 years, but by no means will it be permanent. A report from the Federal Reserve Bank of Philadelphia showed the average credit score of someone filing for bankruptcy was 538.2. In the time it takes most bankruptcies to finalize (about 6-8 months), the average credit score jumped nearly 80 points.

Fact: Though bankruptcy can eliminate many forms of debt resulting from personal loans, credit card charges, medical bills, utility bills, and back rent, there are some exceptions. If you are behind on child support, alimony, or student loan payments, bankruptcy will not eliminate those expenses. It will also not relieve any tax debts you may have. If you live in Rocky Mount, or anywhere in Franklin County, or Henry County, Virginia, you can rely on me to help you search for the best possible solution.

Fact: After your bankruptcy has been filed, you likely won't have to worry about being homeless or hungry. Most property is exempt and debtors rarely lose anything at all. Your house, cars, and clothing are safe in most cases, and even some non-exempt items aren't valuable to creditors like televisions or even smartwatches.