Ohio consumers who are burdened with unmanageable debt may be exploring remedies to relieve the stress of creditor harassment and other actions. Knowledge is power, and consulting with an experienced bankruptcy attorney may provide the information necessary to make informed decisions. A lawyer may also dispel some of the myths about bankruptcy.
One misconception about bankruptcy is that the filer will lose everything. The truth is that, although Chapter 7 is known as the liquidation bankruptcy, exemptions exist, and assets required for a basic living will not be sold at auction. All assets are retained in a Chapter 13 bankruptcy. However, consumers must not expect all of their debts to be discharged. Bankruptcy will only discharge unsecured debts such as credit card debt and medical debt, but unpaid taxes, child and family support and student loans -- except under specific circumstances -- will remain the filer's responsibility.