Surviving
Credit Card Debt
If your hands tremble as you hold your credit card statement and realize that you can no longer make the monthly minimum payments or that you are going to miss another payment altogether, it’s time to stop feeling hopeless and start taking steps towards controlling your credit card debt.
Many people faced with a financial crisis begin using their credit cards as a lifeline to pay for life’s necessities like groceries, utilities, car payments,
home mortgages and medical bills, until they reach their credit limit or the
proverbial end of their rope. Whether your financial crisis is caused by
personal or family illness, the loss of a job or overspending, filling
bankruptcy may be your best option to overcome credit card debt and start back on the path towards financial stability.
Fortunately credit card debt is usually easier to discharge through bankruptcy than other types of debt. Just the act of filling
bankruptcy can halt all collection activities including creditor’s harassing
phone calls. The attorneys at Bowser and Associates will carefully review your financial situation and determine if a chapter 7 or chapter13 bankruptcy filing can provide credit card debt relief.
Chapter 7 bankruptcies can completely eliminate most of a debtor’s unsecured debt, including high credit card balances and unpaid medical
bills. However, not all of a person’s debt is discharges under chapter 7
bankruptcy. Student loans, alimony/spousal support, child support and certain tax debts will not be discharged unless an extreme hardship can be proven.
In a chapter 13 bankruptcies filing you are required to repay a portion of your unsecured debt. All of your qualified unsecured debt is consolidated into one manageable monthly payment that is repaid over the course
of three to five years. The amount of this monthly payment is based on your ability to pay or your income. What this mean is that your unsecured debt is often paid back at pennies on the dollar. Under certain circumstances, second mortgages and home improvements are considered “Unsecured debts” and are paid at the same rate as any other unsecured debt, which is at a considerable reduction from what was originally owed.
Rather than struggling to repay your credit card balances
for years or even decades, contact the experienced attorneys at Bowser and Associates to receive expert advice on credit card debt relief. You don’t have to hide out from your creditors and live in constant fear of losing all of your assets – you can get a fresh start. The Bowser and Associates law firm has been successfully representing individuals and families in bankruptcy cases in St. Clair, Macomb, Wayne and Oakland counties for the past thirty years.