Kansas City Area Bankruptcy Firm
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Restore Your Credit, Reclaim Your Life Bankruptcy Firm Serving Kansas City & The Surrounding Areas
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Bankruptcy Myths

Our Kansas City Area & Johnson County Attorneys Help Put You at Ease

Bankruptcy comes with a number of negative myths and stereotypes. More often than not, clients come to our firm with concerns about their credit, their assets, and their future based on well-known myths that are completely untrue.

Let us help you dispel some of these myths. Read more below or contact our Johnson County & Kansas City bankruptcy lawyers at Moore & Associates, LLC to discuss your case during a free consultation.

Myth 1: I will never be able to borrow money again if I file bankruptcy.

Our disciplined clients that take steps to re-establish their credit have been able to increase their FICO scores in the 650-700 range within 2-3 years of filing. You can immediately begin to re-establish your credit after you file. In a Chapter 7 case you have to make on time payments on reaffirmed debts and in a Chapter 13, you have to make on-time payments in your plan and set up a post filing trade line (secured credit cards work really well), in order to rebuild your credit and get good rates when you borrow in the future.

Myth 2: I will lose all of my assets if I file bankruptcy.

The majority of filers do not have to surrender any assets or personal property. Kansas and Missouri have exemptions that protect you from creditors and most filers are able to set up an affordable plan to payoff car loans and other secured debts.

Myth 3: I need money to pay a lawyer to find out about or receive bankruptcy protection.

At Moore & Associates, LLC, not only do we offer free initial consultations, but clients may also retain our services for no cash upfront. Chapter 13 petitions can be filed in with no cash at the time of filing if you can make your Chapter 13 payments by wage withholding. You can retain one of our Kansas City or Johnson County lawyers to file a Chapter 7 case for as little as $100 upfront and make payments for court costs and other fees prior to the filing.

Myth 4: I have to pay all of my debts back if I file Chapter 13.

For the vast majority of filers the same debts that can be discharged in Chapter 7 can also be discharged in Chapter 13. It depends on your income level and the amount of assets that you have. Most people use Chapter 13 to pay off the debts that are not dischargeable like car loan, mortgage, taxes etc. Come in for a free consultation and one of our Kansas City and Johnson County Attorneys can help you draft an affordable plan to get your finances back on track.

Myth 5: My credit will be a mess for at least 7 years after my bankruptcy.

Bankruptcy is a process to help you create a solid credit foundation. Depending on what your credit score was when you filed, you could see your score exceed 650 within two to three years. If your credit was already damaged, bankruptcy will have little effect. If you are proactive and file before you get substantially behind on your bills you should be able to get your FICO score back up significantly faster, usually within one to two years. However, you must take the appropriate steps to rebuild. At your initial consultation with one of our Kansas City and Johnson County attorneys we will explain the most efficient way to get your credit back on track.

Myth 6: I am a terrible person if I file bankruptcy.

Many individuals and families file bankruptcy every year in order to ensure that their households remain financial viable. Many people have financial issues sometime in their life. Your current financial situation does not define who you are or your worth as a person.

Myth 7: I cannot file bankruptcy if I make too much money.

All individuals and families have the right to file bankruptcy. The amount of income and assets that you have can impact how your debts are treated or which chapter you can file. Even if you are a high income filer, bankruptcy can put you in a position to hit the reset button, stop the creditor harassment and get yourself back on track.

Myth 8: I cannot file if I have a job.

Not at all, in fact the bankruptcy code favors filers that are employed and in a position to receive their fresh start and have the steady income necessary to allow them to prosper after filing.

Myth 9: If I file bankruptcy and my spouse does not, it will hurt the non-filing spouse’s credit.

When only one spouse files for bankruptcy, it will not affect the non-filing spouse, and, in some instances, can be advantageous. A single spouse may file even with joint debts, where both partners are liable, in certain circumstances. Our Johnson County bankruptcy lawyers can review your situation and make sure you know all of your legal options.

Rave Reviews from
Happy Clients

  • I really appreciate your help.

    “The judge ruled that they give me back the cost of the car plus court fee. It was a long process but God helped me through all the steps by providing people like you to help me out. I really appreciate your help. God bless!”

    Ms. F

  • You are so awesome!

    “You are so awesome!!! I hadn’t had a chance to call you yet, but obviously don’t need to since you already did this for us. We are very grateful to you and your staff.”

    Mrs. W

  • Hill and his staff made me feel extremely comfortable.

    “Hill and his staff made me feel extremely comfortable answering any questions that I had. They kept me updated through the process and assisted with figuring out which chapter would be best. I never thought that filing would be so easy and fast. Thanks so much.”

    Ms. C.

  • I am grateful to you for everything you’ve done.

    “Hill, you are worth your weight in gold. Thank you for stepping out there with us on this. I know it was a challenge and a headache at times, but I am grateful to you for everything you’ve done.”

    Mrs. P.

  • I’m very grateful.

    “I just wanted to say thank you so very much for the letter that you drafted for me to help assure people that my Chapter 13 will not hurt them. I am convinced that without that letter I would not have been able to rent the apartment from the complex that I wanted to rent from. I just wanted to take a minute and tell you how much I appreciate all of your help and I’m very grateful that you took the time to create that letter for me. I hope that you have a very Happy Holiday season.”

    Ms. M