Debunking 7 Notorious Bankruptcy Myths

Published on: 23 July 2018 Last Updated on: 08 August 2019

Bankruptcy is a serious step in anyone’s life and can have serious consequences. However, in many cases, bankruptcy is the only way out for some and can bring about the much-needed change as it helps them get rid of old debts. Understanding how bankruptcy affects you is key when deciding whether to file for bankruptcy with the help of experienced attorneys such as the BK Lawyers.

People often turn to familiar people who have been through the same thing or try to find answers regarding bankruptcy on the internet. And while in some cases this might provide the answers they seek, in others, it may bring a lot of misinformation.

There’s no reason to turn to unreliable sources for advice when in most cases bankruptcy attorneys don’t charge the initial consultation during which they can provide answers to all the questions you may have about the process. Therefore, we recommend consulting an experienced attorney before consulting the internet.

To help you better understand bankruptcy, we are going to debunk some of the most common myths.

You Can’t Travel Overseas after Filing :

Many people believe filing for bankruptcy prevents you from traveling overseas. However, the truth is that a trustee will let you travel overseas as long as you make the required payments and provide the required information. You’ll also need to provide financial information regarding the trip, for example, who’s financing it, where you’re traveling, etc.

Filing for Bankruptcy Costs a Lot :

As we mentioned, the initial bankruptcy consultation is usually free. Reliable sources you can consult about bankruptcy include trustees, insolvency experts, and AFSA.

You’ll Love Everything :

One of the most common myths is that filing for bankruptcy means you’ll lose all your assets in order to pay off your debt. Depending on the debt, you may be allowed to keep a lot of assets including your household items, furniture, and appliances. You may keep a significant portion of your balance to cover the costs of living.

In some cases, you may be allowed to keep your vehicles to a certain value, as well as tools of the trade. However, most people worry about losing their home. And even if your home has to be sold to cover your debts, you may arrange to purchase it from the bankruptcy trustee.

Your Earning Will be Limited :

There are no limits to your earning when you file for bankruptcy. However, if you earn more than a certain level you’ll need to make some contributions every year during the period of bankruptcy.

The Debts you leave off the Bankruptcy Form are Not Included :

When filing for bankruptcy you need to submit a form listing all your assets and debts. This form is called a Statement of Affairs form. Leaving information out of this form is considered an offense for which you may be criminally prosecuted.

While you need to fill out the form as precisely as possible, leaving out a debt unintentionally will not affect whether that debt will be included in the bankruptcy.

You Have to File for Bankruptcy if You Can’t Pay Your Debts :

There are other ways to cover your debts, but in most cases, bankruptcy is the most effective one. Bankruptcy has a minimal impact on your finances if you’re not able to cover your debts through selling assets and earnings. IF you have a higher income or have reasons to avoid bankruptcy (if you’re a CEO) you can refinance your home, arrange a debt agreement or make informal arrangements to cover the debt.

You’ll Never Get a Loan Again :

While your bankruptcy is recorded in the credit report seven years after filing and it’s recorded in the NPII, there are still ways to help people with bankruptcy get back on their feet. Credit providers are willing to assist individuals who filed for bankruptcy to get a loan despite that.

Ariana Smith

I enjoy writing and I write quality guest posts on topics of my interest and passion. I have been doing this since my college days. My special interests are in health, fitness, food and following the latest trends in these areas. I am an editor at Content Rally.

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Trading Versus Investing: Which Is Right For You?

There are two distinct stakeholders in every market, we have the traders and the investors. These two sets of people have one thing in common, they both want to make a profit however they approach the market differently. If you are reading this article you are probably interested in the market but, you are a little bit dazed about either deciding on trading or investing. It's time to cheer up friends, don't be disturbed anymore, your questions would be clarified after reading this article. This article would share the necessary information you require to make your decision; trading or investing. Let's get started. What is trading? Trading is a financial activity carried out to earn a profit from short-term fluctuations in the market. Trading involves buying and selling financial instruments; stocks, currencies, commodities, and derivatives to make profits from their price movements within short periods. What is investing? Investing is a long-term financial activity where investors buy a financial instrument; for example, stocks that can yield returns in the long run. Unlike trading, investing requires creating a variety of portfolios of assets and keeping them through every stage of the market till the period they wish or project to take their returns. Unlike trading which is reliant on price movements for returns, investing grants numerous benefits such as bonuses, dividends, buybacks, stock splits, and more. The similarities between trading and investing Trading and investing have a similar objective which is to make a profit. They both offer the possibility of getting rewards. Trading and investment both hold the possibility of a loss; they both have financial risks. You need an account/broker to either trade or invest. Without an account, you cannot buy and sell or invest in stocks, ETFs, options, currencies, and others. The differences between trading and investing The table below would give you a better understanding of the differences between traders and investing: CharacteristicsTradingInvestmentRiskHighModerate/LowCapital growthFrom short-term profitAmass gains/wealth overtime while minimizing risksIntentionPurchase assets during the short term and take advantage of mispricing/irregular price movements in the marketBuy investments and hold them for a long period to grow capitalLeverage offeredYesNoAnalysis neededTechnical analysisFundamental analysisCapital gainsMajorly short termBoth short-term and long termPeriod of investment trackingHigh/ConsistentMedium/lessAsset durationSeconds, minutes, a few hoursWeeks, months, years/decadesAssetsStocks, optionsStocks, bonds, ETFs, mutual funds Conclusion When you are about to make a decision; trading or investing, be introspective. Ask yourself and consider how patient you are. Are you knowledgeable about investing or trading? What are your skills or expertise? Can you manage risks? Or do you prefer to play safe? Based on these questions and your strengths or weaknesses you can think about, you can now decide which; trading or investing is best for you. Remember, trading is more susceptible to financial risk because it is a short-term activity while investing is long-term and less susceptible to financial risk. Trading and investing are not profitable though trading can be a way to earn quick profits while investing wins come in the long run but with fewer losses than trading. You can find your perfect binary options broker as a trader or investor today. Frequently Asked Questions (FAQs) I. Do traders earn more than investors? We can not authoritatively say that a trader is earning more than an investor vis-a-vis. Traders and investors both have the potential to profit. But they both have to make the right and smart decisions otherwise they would lose money. II. What types of trading can I engage with? There are four types of trading; day trading, position trading, swing trading, and scalp trading. Day trading: Positions are held during the day alone. Position trading: Positions are held for months to decades. Swing trading: Positions are held within days to weeks. Scalp trading: Positions are held within seconds to minutes. Scalp trading is usually operated during the day alone. III. What types of investing can I engage with? Some of the types of investing you can engage in are index investing, active investing, passive investing, value investing, market cap-based investing and growth investing. Read Also: Unveiling The Dark Side Of Trading: Exposing Binary Options Scams And Ensuring A Secure Future What Beginners Must Know About Trading Options In Dubai Margin Trading Tips & Strategies For Beginners

9 Vital Options for When You’re Desperate for Money

Most people themselves in a financial jam from time to time, but not everyone knows what to do when it happens! The initial reaction is a sense of panic or desperation. But at some point, logic steps in and reminds those who are short on cash to take action and turn things around. If you're in need of money fast and you're not sure what action is best, don't worry. Take a deep breath and keep reading. Here are nine things you can do if you're desperate for money. 1. Pawn Something You Own: Maybe you don't have too much money in your bank account right now, but chances are you have plenty of things you can sell for quick cash. The real issue comes down to what you're willing to part ways with and how much you can get for the things you pawn. Take a moment to consider all the electronics you don't use anymore and the jewelry you never wear. See if there are any pieces of furniture around your home that are in good condition but that you wouldn't mind not having. It's not like you have to turn in every single thing of value you own. A few personal sacrifices can go a long way, though. 2. Go Through Your Closet: Instead of pawning one or two things of value, consider getting rid of a lot of things of average value--like a bag of old clothes. There are tons of consignment shops and thrift stores that are willing to purchase the old clothes you rarely ever wear. The thing is, your clothes have to be in good condition, and you shouldn't expect to get the same amount money back as what you paid. Still, one bag of clothes can become the money you need to do groceries for the week or get enough gas to get to work. 3. Do Odd Jobs: Another option you have to make quick money when you're short on cash is to do odd jobs. This can be especially profitable if you just got laid off. As weird as it may sound, just take a second to think about all the odd jobs you can do in one day. You could run errands for people who are too busy to do them themselves--like walk their dogs or pick up their dry cleaning. You could babysit, mow peoples' yards, or even take out their trash. There are plenty of things that people will pay others to do if it means not having to worry about it themselves! The trick is to get out of your comfort zone and swallow your pride a bit if you want these odd jobs to help you pay your bills. 4. Pick Up a Side Job: You could do a lot of random odd jobs or you could pick up one side job in addition to the work you already do. This will take up all of your time. It will make you tired and a bit restless, but it will also help make ends meet. It's worth it, and, it could be more fun than you think! A side job could be anything from bartending at night to being a coffee shop barista in the mornings. It could mean you become a waitress or waiter or that you wash dishes in the back of a restaurant, too. 5. Sell Unused Gift Cards: Here's an interesting thought: you may have more money available to you than you think. It just may not be in the form you need it. If you have a bunch of gift cards to clothing stores and online shops, sell them. This can give you the cash in hand you need for more important things like groceries, rent, and gas. It's a simple, stress-free way to make money in a short amount of time. 6. Get a Cash Advance: Getting a cash advance isn't the best idea on this list if your credit is already really bad. But, it could help you if you're in a financial jam for the first time and you have a plan to get out of it. Cash advances give you access to money from your credit card. Instead of using your credit card to pay for things, a cash advance gives you cash to do whatever you need to do. Keep in mind the interest on this charge may be higher than your card's regular level of interest. Most cash advances also apply an added fee to the transactions. If you're looking for a better alternative, try searching for payday loans online no credit check instant approval. These will work similar to a cash advance in the sense that you'll get the money you need in a short amount of time, but, you won't have to worry about charging even more to an already steep credit card statement. 7. Try Peer to Peer Lending: Still looking for options? Consider peer to peer lending! This is a solution most people don't even know about when they're desperate for cash. It works kind of like a personal loan from a bank, but it's more flexible. To get funds from peer to peer lending, you have to find a group lending platform and apply as a borrower. Then, a lender will decide whether or not to give you their own money for a set interest rate. You then create an agreement with this lender for the amount you're going to borrow and how you're going to pay it back. 8. Borrow Money From a Friend or Family Member: If you're considering peer to peer lending, you may as well borrow money from a friend or family member. There's no shame in doing this from time to time. Your loved ones want to see you succeed, and they're usually willing to help you get out of a jam. It's not a gesture to abuse, though. You shouldn't assume that borrowing from loved ones is a safety net that will always be there. But, it is one you can rely on when something unexpected comes up that you have to figure out how to pay for. 9. Take Advantage of All the Free Services You Can: Sometimes, the best way to make money is to save more of it. If you find yourself feeling desperate for more money, be careful about how you spend the money you do have. Take advantage of every free service you can--from food stamps to public transportation to doing laundry at your parent's house. These may change your way of life for a bit and require extra planning during your day to day routine. But, it can do wonders for your personal finances. How to Never Feel Desperate for Money Again: It's one thing to figure out how to make money fast when you're desperate for money, and another to establish such a good relationship with money that you never find yourself in such a place again. This is 100% possible if you put your mind to it. You don't have to be filthy rich to be financially secure. You just have to figure out better ways to make, save, and spend your money. You can turn a little bit into a lot if you know how to best make use of it. It takes time and effort. You'll have to change a lot of your spending habits and overcome a few fears about money, too. But, you'll come out the other end in a much better place. Here are some tools to help you figure out how to become financially secure. Read Also: Hotel Jobs In NYC – Top Reasons To Explore This Opportunity How To Save More Money?

The Different Types of Life Insurance for Individuals with Dialysis

Dialysis is a process where machines clean the blood of toxins, excess salts, and excess fluids. It is an alternative to kidney transplantation. Physicians can also use a transplant with other treatments such as peritoneal dialysis or kidney irrigation when a transplant is not possible. As you can imagine, people who have this medical condition have higher risks of developing infections and mortality rates due to prolonged use of anti-rejection drugs. This may lead to heart failure, strokes, and organ damage. For that reason, it is not surprising that the average life expectancy of dialysis patients is about a year or less. But for those who are already anticipating their untimely death and have a family to look after when they die, the best option to consider is a life insurance plan for individuals with dialysis. There are several benefits of dialysis life insurance. The first is to protect your family financially in the event of your death. They will have an insurance payout to help make ends meet independently. Another is the peace of mind that you get knowing that you have protected your family's future. It can also reduce the stress of dialysis patients whose family members are also undergoing dialysis and have no other way to save for their future. Here Are The Different Types Of Dialysis Life Insurance Plans For Individuals With Dialysis 1. Long-Term Care Insurance Suppose you are a dialysis patient and have dependents such as children. In that case, you may consider taking out a long-term care insurance policy when seeking the Best Life Insurance Companies That Insure People on Dialysis (2022). These policies usually pay out benefits when the insured individual becomes disabled or dies. In most cases, the amount is equal to your monthly income. This money can be used as a financial safety net if you get sick or die prematurely. One downside is that long-term care insurance policy coverage is usually limited to certain conditions such as strokes, Alzheimer's disease, and multiple sclerosis. 2. Term Life Insurance Term life insurance provides a death benefit payout to your beneficiary when you die. Individuals should understand that there are two types of term life insurance. This includes the level term and decreasing term. The former pays the same amount every year while the latter pays less every year. 3. Protective Life Insurance This type of policy pays out a death benefit on the condition that you are alive at the payout. It is ideal for people who want to remain well-insured but don't have family dependents to worry about. 4. Variable Life Insurance Policy This policy provides a death benefit payout and a cash value build-up. The cash value of the policy increases with tax-deferred investments. You can opt for dividend options and use the money to pay for your expenses or let the cash accumulate for the future. 5. Universal Life Insurance This is a hybrid between term and whole life insurance policies. The main difference is that the death benefit payout is guaranteed. And because it's usually cheaper than traditional whole life policies, it's a good option for people who want to get more bang for their buck. 6. Whole Life Insurance Policy This type of policy pays out a death benefit when you die. It is similar to variable life insurance in that your premium will rise or fall depending on how long you're alive. The main difference is that you choose the level of coverage. For example, a 7-year, $500,000 coverage plan would have an annual premium of about $858, with the first year's premium paid yearly. In contrast, a 10-year, $250,000 policy would have a yearly premium of about $1,110, with the first year's premium paid annually. As with variable life insurance, you may purchase a whole life policy to provide a death benefit and income for your family. Conclusion So, if you are dreaming of having a future life after dialysis and have dependents counting on you to take care of them when you die, then dialysis life insurance is the answer. It may even be more than the sense of security that your family members feel knowing that they are financially secure. Read Also: How to Get Low-Cost Life Insurance for Seniors Some Kinds of Death are Not Covered by Term Life Insurance How Private Hire Insurance Takes You Out from Problems?

Debunking 7 Notorious Bankruptcy Myths

You Can’t Travel Overseas after Filing :

Filing for Bankruptcy Costs a Lot :

You’ll Love Everything :

Your Earning Will be Limited :

The Debts you leave off the Bankruptcy Form are Not Included :

You Have to File for Bankruptcy if You Can’t Pay Your Debts :

You’ll Never Get a Loan Again :

5 Ways to Become a Profitable Landlord

Hiring a Blockchain Developer

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Ariana Smith

I enjoy writing and I write quality guest posts on topics of my interest and passion. I have been doing this since my college days. My special interests are in health, fitness, food and following the latest trends in these areas. I am an editor at Content Rally.

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Related

Trading Versus Investing: Which Is Right For You?

9 Vital Options for When You’re Desperate for Money

The Different Types of Life Insurance for Individuals with Dialysis

Debunking 7 Notorious Bankruptcy Myths

You Can’t Travel Overseas after Filing :

Filing for Bankruptcy Costs a Lot :

You’ll Love Everything :

Your Earning Will be Limited :

The Debts you leave off the Bankruptcy Form are Not Included :

You Have to File for Bankruptcy if You Can’t Pay Your Debts :

You’ll Never Get a Loan Again :

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5 Ways to Become a Profitable Landlord

Hiring a Blockchain Developer

Tags

I enjoy writing and I write quality guest posts on topics of my interest and passion. I have been doing this since my college days. My special interests are in health, fitness, food and following the latest trends in these areas. I am an editor at Content Rally.

Leave a Reply Cancel reply

Popular

Follow Us

Recent

Related