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Redding Bankruptcy Attorney Profile Redding Bankruptcy Attorney Prepare Contact Us Legal Fees Bankruptcy Facts

983 Mission De Oro

FREE Bankruptcy consultation in Redding...
call (530)244-0300



For the next few issues, I am going to go over some of the myths that I hear quite often regarding bankruptcy, and hopefully shed some light on areas of confusion. This first myth I hear quite often:

They changed the laws so that now I have to repay my debts even if I file bankruptcy, right?

Wrong! This is my favorite myth to dispel. It’s true that the bankruptcy laws underwent a complete overhaul in 2005. The many changes made to the law mainly affected lawyers, generally creating more paperwork. In fact, for most people there won’t be much, if any, difference between a bankruptcy filing prior to the law changes or after. It still works basically the same way: Non-exempt assets are sold by a trustee and the money is used to pay your debts. Now, that sounds harsher than it is, and here is why:

First of all, if not enough money is made to pay your debts in full, the balances get written off and your creditors are barred from ever trying to collect from you again. Secondly, most of the time (about 93% of the time in my experience), everything that a person owns is exempt and therefore NOT taken by the trustee. Yes, you heard me right, 93% of the people who come into my office have all of their debts written off without ever losing a single item or making any payments. This is a far cry from the myth that you have to repay your bills even in bankruptcy, and it is good news to people who have been misled by credit card companies and debt relief agencies.

Call a reputable Law Office to personally go over your specific situation to find out if Bankruptcy is a good choice for you and if you fall in the 93%.

Courtesy of Amy Spencer-Martyn
Spencer-Martyn Law Offices
3460 Bechelli Lane, Suite E
Redding, CA 96002
(530) 244-0300

This information in this article is not, nor is it intended to be, legal advice. You should consult an attorney for individual advice regarding your own situation.


Bankruptcy Attorney, Redding, CA

983 Mission De Oro

FREE Bankruptcy consultation in Redding...
call (530)244-0300

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