What is a common misconception about Bankruptcy?

A prevalent misconception about bankruptcy is that it serves as an easy way to resolve all debts. This idea oversimplifies the complexities involved in the bankruptcy process. While bankruptcy can indeed provide relief from certain debts, it doesn't guarantee a complete discharge of all obligations. Some debts, such as student loans, certain tax debts, and child support, typically remain the responsibility of the debtor even after filing for bankruptcy. Additionally, filing for bankruptcy can have significant long-term implications on credit ratings and may affect one's ability to access new credit in the future. Understanding this nuance is critical for individuals considering bankruptcy as a solution to their financial troubles.