I'll lose everything I have.
This is a misconception. Bankruptcy laws allow 95% of our clients' to keep all of their assets. Bankruptcy law exemptions protect your house, your car (up to a certain value), money in retirement plans, household goods, clothing and jewelry.

I'll never get credit again.
The opposite is actually true. Most of our clients get offers of credit, sometimes even before their case is closed. Remember, you are currently facing high debt with high interest. However, after bankruptcy you will be virtually debt-free.

It's really hard to file for bankruptcy.
This is not true, if you have a competent and certified bankruptcy attorney. While the law does require more documentation, it is relatively simple and easy to obtain these documents in order to file.

All debts are wiped out in Chapter 7 Bankruptcy.
While most debts are discharged, some debts cannot be erased. These debts include child support, alimony and debts incurred by fraud. Student loans can only be discharged if there is extreme hardship.

If I'm married, both I and my spouse have to file.
Sometimes it is better for only one spouse to file, the spouse who has the most debt. The other spouse therefore still has his or her right to file. However, if debts are joint, it is probably better to file together. Typically there is no additional cost to file a joint petition over a single petition.

Bankruptcy does not eliminate back taxes.
Generally speaking this is true; however, there are certain categories of taxes that are discharged if they were assessed over three years prior to the filing.

I can max out all my credit cards and get cash advances right before filing bankruptcy and never have to pay them.
These types of practices are considered fraudulent and/or in bad faith. Courts look closely at cash advance, purchase of luxury items, and balance transfers that occurred six months prior to filing. You do not want to be taking these types of actions within six months of filing your bankruptcy.

I will be embarrassed because everyone will know I filed bankruptcy.
Unless you are a celebrity or major corporation, it is very likely that few if any people will know that you have filed bankruptcy except for your creditors.

Only deadbeats file for bankruptcy.
This is false. Corporations such as Chrysler, General Motors, and Donald Trump have filed bankruptcy to have fresh start. Most people file bankruptcy because of a life-changing experience that was outside of their control, such as loss of a job, divorce or serious illness.

If I've already filed bankruptcy once in my life, I can't file again.
The truth is you can file Chapter 7 bankruptcy once every eight years (the old law used to allow you to file every six years). Chapter 13 reorganization does allow you to file more often.