Credit Debt Help

How Credit Card Debt Can Harm Your Credit

Almost every adult American has some form of credit card debt. In January of 2009, Americans owed a combined $963 million in credit debt.

Credit cards and their complicated contracts are designed to rack up big debt at your expense. In addition to repaying the cost of your charges, credit cards earn money and increase your credit debt through:

Interest rates: These may increase at any time and for any reason
Fees: Some credit cards charge a monthly or annual fee just for the right to use them
Penalty fees: If you're late on a payment or charge more than your limit you could face a host of fees that can build and waterfall out of control

Credit companies are notorious for sending collection agencies after people. The groups, which sometimes have little disregard for the law, can engage in harassment with constant telephone calls and letters. Collection agencies may also make attempts at garnishing your wages.

All of these actions cause stress, and this stress can get so bad it can have a negative impact on your health.

So here's the good news: There is credit debt help available.

If you're suffering under the weight of credit debt, bankruptcy could help you regain control of your life. Bankruptcy was designed to help you eliminate your credit debt and get you a fresh start.

To start getting rid of your debt, speak with a local bankruptcy. Simply complete the free case evaluation form on this page and we'll connect you with a bankruptcy lawyer near you. Or, you can call our toll free, 24-hour hotline at 877-349-1309 and we'll connect you right away. The call is free and comes with no obligation.

Chapter 7 bankruptcy could lead to a complete discharge of your credit card debt. Learn how by speaking with a local bankruptcy attorney.

Ways to Eliminate Credit-Related Debt

Bankruptcy can be an effective and trusted means to eliminate credit debt. And for good reason.

Credit debt is considered unsecured debt. This means that it isn't tied to a specific piece of property like a home mortgage or car loan. Other types of unsecured debt include medical bills, personal loans and payday loans.

Because credit card debt is unsecured, there are several ways you may be able to eliminate it by filing credit card bankruptcy.

Chapter 7 bankruptcy, for example, is specifically designed to eliminate credit card and other unsecured debt. In a Chapter 7 case, your unsecured debt is completely discharged. This option is designed for people with lower incomes. To see if you qualify, check with a local bankruptcy attorney.

If along with your credit debt you have lots of secured debt tied to property you want to keep, such as homes or cars, then Chapter 13 bankruptcy may be a better option.

In Chapter 13 bankruptcy, your credit debt will be ordered and secured with all of your other debts. In most cases, your credit debt will be reduced. Then, you'll make a monthly payment to a bankruptcy trustee during a court-approved payment plan. After the period, typically 3-5 years, you will emerge debt free and ready for a fresh start.

Credit debt elimination note: Both Chapter 7 and Chapter 13 bankruptcy may help you eliminate your credit debt. They also both should come with the protection of the Automatic Stay. The Automatic Stay is a court order that provides strong legal protection. Once invoked, it should stop all collection efforts including: Wage garnishment, foreclosure, repossession, lawsuits, phone calls and letters.

Get Help with Credit Debt Today

Each year, almost a million people turn to filing bankruptcy for help eliminating their debt. If you're suffering from debt related to credit cards or anything - including your home mortgage, medical bills and car loans - bankruptcy may be able to give you a fresh start.

To fully understand how the bankruptcy laws in your state can affect you, speak with a local bankruptcy lawyer. Your bankruptcy lawyer can answer any questions you might have and take you through the bankruptcy process step-by-step.

We can connect you with a bankruptcy attorney near you today. Simply complete the free case evaluation form on this page or call, toll free, 24-hours a day, 877-349-1309, and we'll put you in touch with a local lawyer right away who can evaluate your case.

You don't have to face the difficulties of credit debt alone. Get the help you're looking for to get your life back on track.

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