Can Bankruptcy Eliminate All Credit Card Debt?
There are two primary forms of debt that Georgia residents
should understand. The first is secured debt, which is any type of debt
associated with collateral. Examples of secured debt include mortgages and auto loans. The other type of debt is unsecured, meaning there is no collateral
associated with it. Credit card debt is the most common type of unsecured debt. Tax-related debt can be either unsecured or a
third category: priority.
If your lawyer determines that you qualify for Chapter 7
bankruptcy, you can expect your credit cards and associated debt to be
eliminated. If you do not qualify for Chapter 7 relief, it may be best to file
under Chapter 13. For example, Chapter
13 may be appropriate if your income is too high to qualify for Chapter 7. In
such a case, Chapter 13 bankruptcy would allow you to repay as much of your
credit card debt that you can afford to repay based upon your available income,
and the remaining amounts would be eliminated.
If you find yourself facing insurmountable credit card debt, King
& King can help. Call today at 404-524-6400 for a free consultation. We can
advise you of what is the best way for you to eliminate credit card debt and
get a fresh start.
