Law Office of Judith A. Descalso Law Office of Judith A. Descalso

Discharging credit card debt with Chapter 7 bankruptcy

Many Escondido residents may not know the difference between secured debt and unsecured debt. Secured debt is something like a car loan or a mortgage - the loan is tied to an item of physical property. Unsecured debt, on the other hand, is something like credit card debt. Why is this difference important? Well, mainly it's because unsecured debt is a prime candidate for discharged in a Chapter 7 bankruptcy filing.

There are many different reasons for why a person's credit card balances may balloon to an unsustainable level. For some people, the sudden onset of a medical issue can limit income while at the same time causing a surge in unexpected expenses. For others, an unexpected job loss could present financial challenges when supporting a family. But, one thing that is for certain is that it won't take too many delinquent payments or missed payments before creditors start hounding debtors about credit card balances owed.

Whether it is unexpected unemployment or a sudden medical issue, Escondido residents should know that they may be able discharge their credit card debt by filing for bankruptcy. Bankruptcy is a tool for consumers to address their debt issues and get a fresh financial start.

After the bankruptcy filing is complete, most people will be focused on rebuilding credit. This isn't always an easy task, but it can be done. At our law firm, we work with our clients in an attempt to ensure that they take the right steps all the way through the bankruptcy process, and afterward as well. For more information about discharging credit card debt with a bankruptcy filing, please visit our law firm's website.

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