I wish I had written this, but bankruptcy attorney Laura Mann beat me to it. Please see her website for great bankruptcy information.
I can’t file for bankruptcy – I’ll lose my house (car, boat, etc.)!
This has got to be the #1 misconception I hear on an almost daily basis from people. They often do not want to consider filing for bankruptcy relief because they believe, often incorrectly, that they will lose their home or car. This is not necessarily true and one should not refuse to consider bankruptcy as an option under the (oft-mistaken) belief that it always is true.