Experienced Attorney Dispels Bankruptcy Myths in Queens
Helping you separate fact from fiction when it comes to bankruptcy
As with almost every topic discussed in New York — from the state of the economy to the Yankees’ chances — it’s wise not to believe everything you hear. When it comes to bankruptcy in Queens, there are many misconceptions that are not helpful to people who are struggling with debt. At Mark E. Cohen, Esq., I work hard to give you good information and help you make an informed decision about your own situation.
Does bankruptcy ruin my credit in Queens?
The biggest myth about bankruptcy is that it outright ruins your credit. This is not true. As a Queens debt relief lawyer, I explain to my clients that bankruptcy affects your credit but does not destroy it. Most people who reach the point of filing for bankruptcy already have damaged credit. Bankruptcy offers a chance to start over and rebuild your credit.
Will I lose all my personal property if I file for Chapter 7 bankruptcy?
There are certain exemptions provided by federal bankruptcy law that protect some of your personal property. For example:
- Household goods: you can claim exemptions up to $10,000
- Car: you can claim an exemption of $4,000 based on the trade-in value and condition of the vehicle
- Home: New York State provides its own homestead exemption to protect equity in a family home
Working with a knowledgeable bankruptcy attorney is the best way to learn about these and other bankruptcy exemptions. In Queens and throughout the five boroughs, I offer clients in-depth information about the property that can and cannot be protected under Chapter 7 bankruptcy.
If I file for Chapter 13 bankruptcy, will I have to pay back all my debts?
Chapter 13 bankruptcy allows you to restructure your debts and pay back as little as one percent or as much as 100 percent of what you owe, depending on your circumstances. You will have the opportunity to negotiate a repayment plan that may allow some of your debts to be discharged fully or to be significantly reduced.
Will I ever qualify for a loan again after filing for bankruptcy?
You will qualify for a loan again, in time. If you’re suffering from a poor credit rating, filing for bankruptcy may be your best option for beginning to rebuild your credit. You may become eligible for a mortgage loan two years after a bankruptcy discharge as long as you have maintained good credit since your filing.
Will my family, friends and coworkers all know I filed for bankruptcy?
Bankruptcy is a public proceeding. But the most likely scenario is that only your creditors and the people you choose to share the information with will know about your bankruptcy.
When it comes to your financial well-being, don’t choose the path of least resistance. Get the information you need to make good decisions. And learn the facts that dispel frightening but common bankruptcy myths. In Queens, Mark E. Cohen, Esq. is ready to answer your questions and help you explore your legal options.
To ease the stress of overwhelming debt, call a bankruptcy lawyer in Queens
All too often, good people find themselves in financial trouble that quickly spirals out of control. For more than 30 years, I have helped people like you understand the available options, make informed decisions and navigate through the complex process of filing for bankruptcy.
Located on Old Country Road in Westbury, I offer a wide range of services to individuals and families suffering from the weight of debt. Call Mark E. Cohen, Esq. at 718-487-9979 or contact me online to schedule a free consultation.