bankruptcy myth | memphis bankruptcy attorneyBy: Darrell Castle

A common myth about bankruptcy is that it will ruin your credit.

And that’s just what it is — a MYTH.

Will a bankruptcy go on your credit report? Yes. But was your credit good before you filed for bankruptcy? No, it probably wasn’t.


Why do people file for bankruptcy? Because they have debt they can’t pay. And how do people find themselves in debt? They missed payments on important bills and fell behind.

With the above being true, since one of the biggest factors in determining your credit score is on-time payments, wouldn’t those missed payments that got you into the debt you’re currently in actually HURT your credit score? Yes.

In most cases, filing for bankruptcy neither hurts — nor helps — your credit score.

What does Chapter 13 bankruptcy actually do?

Chapter 13 bankruptcy has many great benefits. I feel so strongly about them, that I created a free report that you can download here.

However, filing for Chapter 13 bankruptcy gives you a wonderful opportunity to re-establish and rebuild your credit score the right way!

By filing for Chapter 13 bankruptcy, you’re lumping your debt into an AFFORDABLE repayment plan over a 3-5 year period. And when the bankruptcy is complete, your debt is discharged. You have a clean slate and a fresh start!

You can begin taking the correct and responsible steps to rebuilding your credit score to the rating you want it to be. And programs like our 7 Steps to a 720 — which is free for our clients — teaches you exactly how you can make it happen.

Our Memphis bankruptcy attorneys can help you with your debt

If you’re struggling financially and want to talk to someone experienced about your options, then our FREE consultation is perfect for you.

This is time reserved JUST FOR YOU. You’ll sit down with the bankruptcy attorney, go over your finances and your situation. And then you’ll discuss your best options moving forward.

Maybe your best option is bankruptcy. Maybe it’s not. But wouldn’t you like to know? It’s free information!

For decades, Darrell Castle & Associates has helped people in the Mid-South get out of debt. We’re detailed, responsive and we truly care. That’s why our clients like us. That’s why we’ve received multiple Client Distinction Awards from Martindale-Hubbell for client satisfaction. You’re in good hands here.

Want a FREE bankruptcy consultation?

Call (901) 327-2100 today to schedule your appointment. Or you can fill out the form to the right of this page to have someone from our office contact YOU.