A bankruptcy may seem like something that would permanently harm your credit or ruin your life. You might think it would leave you with little to nothing to your name and that you'll have to start over. Depending on your circumstances, you may believe that it is too much to risk.
The reality is that the idea of being left with nothing is a myth about bankruptcy. In fact, there are several kinds of bankruptcy that can help you keep most, if not all, of your assets. The primary form of bankruptcy that people use is Chapter 7 liquidation, which requires the sale of nonexempt assets to pay down debts.