Bankruptcy can sometimes have a bad name - many people feel uncomfortable with the idea of filing for bankruptcy and the negative stigma that they think it holds. If you are like thousands of Americans, bankruptcy could help you overcome your financial burdens and lead you to a path of financial freedom. Furthermore, many of the negative misconceptions are simply untrue or inaccurate.

At my firm, i strive to assist clients in effectively conquering this troubling time, and i will use my experience and knowledge of the New York legal system and Federal Bankruptcy laws to assist you. Below, you will find answers to some of the most misunderstood bankruptcy myths. At my firm, you deal with me. I do not hand you over to an associate or paralegal.

If you are seeking answers about specific questions you may have, do not hesitate to contact me, Kenneth Halpern, Attorney at Law.

Fact vs. Fiction

No! While filing for bankruptcy will show on your credit report for a period of years, bankruptcy can actually help you rebuild your credit. Bankruptcy can act as a clean slate, lowering your debt to income ratio, and you can start to open new credit cards and rebuild your credit once you receive your discharge.
No. Usually a Chapter 7 from the date of filing to issuance of the discharge takes three months. It usually only requires one court appearance. A Chapter 13, on the other hand, is more involved and takes a longer period of time.
Gone are the days of published bankruptcy in the newspapers. While bankruptcy does appear in certain documents such as your credit report, it is not advertised to the world. You probably know at least one person who has filed bankruptcy and yet have no idea that they filed unless they have told you themselves.
No, you do not. There is no requirement that just because you are married, you both have to file for bankruptcy. Your credit is separate from your spouse’s and usually only the person who is legally responsible for the debts should consider filing for bankruptcy. However, there are exceptions to every rule and i can Help you determine if you and your spouse would both benefit from filing together. As an experienced attorney, i can help!
Yes you can! By filing for Chapter 7 or Chapter 13 bankruptcy, you could stop the foreclosure process and regain control of your finances. You can also determine if you may be eligible for a loan modification or afford to repay your mortgage arrears over time thru a Chapter 13. To determine which chapter is right for you, contact my firm as soon as possible.
No, you will not lose your assets or properties. In fact, even in Chapter 7 bankruptcy (liquidation bankruptcy) there are numerous assets and property that are considered exempt - including your home, automobile and many other personal assets. I can help you determine if there are any risks to your assets and property in bankruptcy during the free initial consultation.
Medical debts of all kinds can be discharged through bankruptcy.
If you owe income taxes, you may be able to discharge them in either chapter of bankruptcy. Complex rules apply to determine if taxes are dischargeable and you should consult with a bankruptcy attorney before state or federal tax liens are filed to maximize the potential bankruptcy benefits available to you.