Relief From Overwhelming Unsecured Debt
Unsecured debts are those debts which are not guaranteed by any kind of collateral, such as a car or your home. In other words, if someone loaned you money in this way, they can’t repossess anything. Many unsecured debts can be discharged in a Chapter 7 bankruptcy, including credit card debt, judgments, some taxes, medical bills, utility bills, and personal loans.
However, some unsecured debt is nondischargeable in Chapter 7 bankruptcy — meaning it is not wiped out. Nondischargeable debts include those for child and spousal support, student loans (except in very limited circumstances), certain taxes, recent debts for luxuries, debts incurred on the basis of fraud (such as lying on a credit application or writing a bad check), and unlisted creditors. This will stop creditors from calling you. Creditors who hold the unsecured debt, like most credit card debt or other money owed for services performed, only have two options in recouping their money: they can either convince you to pay voluntarily or seek a court order.
Since creditors know that unsecured debt can be difficult and costly to recoup, many of them resort to threats and intimidation to convince you to pay. While creditors do have a right to call you, if they resort to harassment they may be breaking the law. This rarely stops them however, and the calls and letters become disruptive, upsetting, and overwhelming.
One of the advantages of having an attorney on your side when you are overwhelmed by unsecured debt is that all calls and correspondence with your creditors can be routed through our office. Let the attorneys at Weintraub, Selth & Nguyen, APC, handle your creditors while you take steps to get back on track. Contact our office today to discuss your situation with an experienced Los Angeles debt relief lawyer.
Debt Relief Options For California Clients
You have options in handling overwhelming unsecured credit card debt. Even if you don’t qualify for Chapter 7 bankruptcy, a Chapter 13 bankruptcy or credit card debt and other debt negotiation may be the best option for you. Depending upon your circumstances, your interests may best be served by debt negotiation resulting in a deeply discounted cash settlement or a payment plan that allows you to end harassment and mounting charges and fees while paying off your outstanding debt.
At a certain point, it may be impossible to repay unsecured debt in a negotiated arrangement with your creditors. If that happens, our lawyers can efficiently guide you through the process of seeking debt discharge under Chapter 7 or debt reduction for wage earners under Chapter 13 bankruptcy.
Determining which option is the best one for you requires the guidance of an experienced bankruptcy attorney with expertise in debt relief matters. You need expert advice from someone who offers a full range of services and will recommend what is best for you and explain why that is the case. We are licensed California lawyers who will do just that.
Remember that debt negotiation companies are typically not interested in offering you any solution other than a debt negotiation plan under which you make monthly payments, the first several of which (sometimes up to 10 months or more) go towards their fees only. During this time, your creditors are not managed, receive no money, and may sue you. You need to know all of your options and understand what is best for you.
Please call the L.A. law firm Weintraub, Selth & Nguyen, APC, at (310) 584-7702 or toll free at (866) 572-2423. You may also email us today with any questions or to request an appointment.