Credit Card Debt – Does Bankruptcy Make It All Go Away?
Some people are forced into bankruptcy because of credit card debt for a number of reasons. Perhaps there was a job layoff, and a credit card was the only way to buy food and gas. Perhaps a payment was late and the interest rate skyrocketed to 35% or more. Perhaps a medical emergency came up that wasn’t covered by insurance, and you put the ambulance ride on a credit card.
At Kerney Law Firm, we focus strictly on bankruptcy law. Our founder, Christopher Kerney, is an experienced bankruptcy lawyer. We will be able to handle every aspect of your bankruptcy. Once you decide to file, we take care of everything.
For your convenience, we have provided some basic background information about bankruptcy and the answers to some frequently asked questions.
Credit Card Debt And Bankruptcy – A Few Points
Under a Chapter 13 bankruptcy, your credit card debts are grouped with other debts that are unsecured. You can repay 0%-100% of your unsecured debt. In most cases in Tennessee, you may keep your income tax refund if you pay at least 20% of your credit card or unsecured debt.
Under Chapter 7, credit card debt, in general, is discharged, which means you do not have to pay it.
Stop Collection Calls
Frequent calls from collectors can become a stressful distraction. One major benefit of bankruptcy is the automatic stay, which puts an immediate stop to collection calls and all other debt collection efforts. This gives people filing bankruptcy a chance to breathe without the anxiety of calls from collectors.
Call Today For A Free Consultation
Our law firm helps individuals and families in Gallatin, Portland, Hendersonville, Lebanon and the surrounding area. Let us evaluate your financial situation and help you identify your options. Your first consultation with a lawyer is free with no obligation. Call or contact us online today.
We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.