Still not sure if filing bankruptcy is for you? Clearly there are many ways to look at it, advantages and disadvantages to filing, and the fear it can bring. For one, bankruptcy is a solution, a tool designed to help. It can be a life changing event, but for the good. For one, some think that by filing, you’re giving up all your assets, you’re ruining your credit, or even worse, that you’ll never be free of it. There are many other myths too, but remember the earlier point, that bankruptcy is a tool, and you can be free of this.

This post will help you make decisions beyond the myths, to help your finances and give you a fresh start.

Myths of Bankruptcy
For Texas bankruptcy, common culprits are bills, debts, and cards made of plastic. The myths abound. You won’t have to pay back taxes or alimony (you will). Bankruptcy will ruin your credit (it won’t). That you’ll lose all your assets with Chapter 7 (you rarely lose anything). That you won’t be able to afford to pay back debts, even with a Chapter 13 repayment plan (many can). Bankruptcy won’t give you a bad name, won’t make it impossible to get a loan, and you certainly won’t lose all your assets. Remember this is a tool, and over 1 million use it every year to successfully discharge debt, save property, save money, and save time.

Advantages of Bankruptcy
This all depends on the form of Texas bankruptcy you want to file. We go over Chapter 7 and Chapter 13 many times on the Higgins and Associates blog. The biggest benefits for each is simple. Chapter 7 can discharge pretty much all your debt. Chapter 13 can pay it back, but save assets like your home from being lost.

There are other benefits. In both forms of personal bankruptcy, you can be free of creditor harassment. In both forms, you can successfully rebuild your credit; if it’s already bad, you can get a fresh start building it by handling your credit correctly. And if you choose to file Texas personal bankruptcy, you need not live in fear of the repo-man or your home being taken.

Disadvantages of Bankruptcy
Bankruptcy will stay on your credit for 10 years. It will be hard to get a major loan for some time, such as a new mortgage, but it’s more than possible. You won’t discharge all debt with Chapter 7, and sometimes your creditors can appeal your filing. For Chapter 13, you are still liable for debts: if you cannot pay at least some amount, you may start running out of options.

Making the Choice
If you need help making the choice, you don’t call your creditors. You call someone who can help, like an experienced Texas bankruptcy attorney. You first should research how bankruptcy works, what you’re eligible for, what debts you can discharge, how long the process takes, and what’s expected from you if you want to keep your assets. These decisions are better made with an educated mind.

Asking for Help
Asking for helping is always tough, but when making a decision on bankruptcy, it’s simply a must. You cannot file for Texas bankruptcy without some guidance of a professional. It’s worth the time and money to search for and hire a lawyer, because he or she will actually save you from major mistakes, and save you money by making the bankruptcy work for you.

Now that you’ve finished, it’s time to make that big choice. Remember not to make it alone.