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Why Bankruptcy Isn’t as Scary as It Sounds

Many people today are going through more profound financial strain than ever before. This has become challenging, which could make it impossible for you to meet all of your financial obligations.

The term Bankruptcy is a scary word for most people. It is automatically associated with business closures, financial problems, and tarnished credit. At Butcher Law Office, LLC, we strive to put such fears to rest and provide the best options when struggling financially.

While bankruptcy does have its consequences, these consequences are not as bad as most people think. But what really makes most people frightened about filing for bankruptcy?

What Are the Unspoken Fears about Bankruptcy?

Most people’s entire financial lives are geared toward evading bankruptcy. That’s the top reason why many don’t know what bankruptcy is, and the reason why we hear a lot of scary myths surrounding it.

Losing Control of Your Finances

The truth is, bankruptcy can force you to give up control of your financial affairs. A Chapter 7 bankruptcy will pass nominal ownership of everything you own to a trustee so that your creditors can benefit. Not too reassuring, but that isn’t the case in most Chapter 7 cases.

About 98% of all Chapter 7 bankruptcy cases are no-asset cases, so this means you lose nothing when you file.

Ruining Your Credit Forever

Many people often wonder “will bankruptcy ruin my credit forever?” Most commercials that try to sell for-profit solutions to your debt problem will discourage you from filing for bankruptcy by peddling fear. They’ll make you think you’ll never access credit again if you wipe out your debt through bankruptcy.

While bankruptcy can damage your credit, it doesn’t ruin it forever. You can still reestablish good credit with the help of a knowledgeable Oregon bankruptcy lawyer fairly quickly and even purchase a home two years after filing bankruptcy in some cases.

A Damaged Reputation

The media won’t report you for filing for bankruptcy (unless you’re a celebrity). Other than your creditors, your Eugene bankruptcy attorney, and some friends and family you tell, no one will know about your bankruptcy.

Should I Consider Bankruptcy?

Bankruptcy is a solution that will put to an end to those harassing creditor calls. For many, bankruptcy stops the cause of stress on their lives. You not only want the calls and threats to stop but also the debt to go away.

If you have unsecured debts that are crippling you, bankruptcy offers a way to manage your debt. And if it’s a business, it is a way of keeping your doors open and restructuring your organization.

Your Credit Can Bounce Back

You will still be able to obtain loans, start a business and even buy homes after filing for bankruptcy. In the short term, expect your credit score to drop. However, this won’t be the case forever.

In fact, many people who file for bankruptcy in Oregon see an increase in their scores of 50-100 points within the first year of filing because most debts are now eliminated. It will take time to rebuild your score, but it’s possible.

You Won’t Lose All Your Possessions

Bankruptcy is designed to help you eliminate debts while keeping your most valued assets. You can always file for exemptions that will help you retain your most valued possessions. In situations where the worth of your assets is high, you can go for a Chapter 13 bankruptcy.

Your Reputation Won’t Be Ruined

Legally, you’re not obliged to tell anyone that you’re filing for bankruptcy except for your creditors and your Eugene Chapter 7 bankruptcy lawyer. So if you’re worried that your reputation would be ruined, that shouldn’t be the case.

Bankruptcy Relieves Stress

If you have insurmountable debts, bankruptcy provides you with an opportunity to relieve stress for you and your family. You will be free from the chaos and stress of balancing your debts and living expenses.

You Will Be Legally Represented

Another reason why bankruptcy shouldn’t be scary is that you will have a legal representative advising you. An experienced bankruptcy attorney near you will be able to provide legal options and guidance for a smooth process and protection of your rights.

Should I Just Go for a DIY Bankruptcy?

People who’ve had “bad bankruptcy experiences” are mostly those that decided to go it alone or hired inexperienced attorneys. You should avoid a do-it-yourself bankruptcy because you might be filling outdated forms and dealing with changing laws. An experienced bankruptcy lawyer in Eugene is familiar with any recent changes in bankruptcy laws and also knows the outcome of previous cases and the reaction of specific judges and creditors.

You Don’t Have to Face Bankruptcy Alone

A skilled bankruptcy lawyer will help you through the process and offer legal advice when faced with challenges. You don’t want an attorney that treats you like an afterthought but one who is committed and diligent.

That’s why you need a law firm with the commitment and experience to handle your case with care. Here at Bucher Law Offices, LLC, we have the necessary experience to help settle your bankruptcy case and help you get back on track financially. Talk to bankruptcy attorney Tom Butcher today by calling (541) 762-1967.

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Tom Butcher

Tom Butcher

Tom Butcher is the owner and attorney at Butcher Law Office, LLC. He represents clients in financial distress in Chapter 7 Bankruptcy and Chapter 13 Bankruptcy. Tom offers a friendly, respectful, and compassionate experience for clients who are in financial and legal distress. Rather than taking a mechanical approach to filing bankruptcy for clients, like other bankruptcy firms, Tom strives to offer a personal, one-on-one experience, where the client’s situation is of utmost importance. Tom believes this personal attention keeps him connected to the community, and serves his clients best during their bankruptcy.
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