Los Angeles Unsecured Debt Lawyers
Relief from Overwhelming Unsecured Debt
Unsecured debts are those 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— 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 a lawyer 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, APC handle your creditors while you take steps to get back on track.