Types Of Debt That Can Be Eliminated

Paducah Unsecured Debt Attorney

Getting Your Debt Under Control Through Bankruptcy

Debt can add up quickly and come from anywhere. If you lost your job, you may have racked up credit card debt or have student loans to pay off. If you were in the hospital, you might have overwhelming medical bills. You may have simply purchased more than you could afford.

If your debt is out of control, the team at the law firm of Marcus H. Herbert & Associates can help you. We can make sure you understand what debts you can get rid of and help you develop a debt relief strategy that meets your needs. Contact a Paducah unsecured debt lawyer at our office for debt relief advice throughout Western Kentucky and Southern Illinois.

What Debts Are Discharged in Bankruptcy?

What debts you can get rid of in bankruptcy depend on the type of bankruptcy you file and the type of debt in question. In Chapter 7 bankruptcy, you will be able to discharge most unsecured debts. An unsecured debt is a debt that is not backed by a lien on real estate or personal property. Examples are:

  • Credit card debt
  • Medical bills
  • Personal loans
  • Payday loans
  • Court judgments against you (but these can become liens on your land)
  • Unpaid taxes older than three years

If you file for Chapter 13 bankruptcy, we will develop a payment plan to help you manage and reorganize your debts. Any unpaid, unsecured debts will be discharged when you complete the payment plan, which usually lasts between three and five years.

What Debts Will Not Be Discharged?

There are certain types of debt that cannot be discharged in bankruptcy, including:

  • Debts not listed by you in the bankruptcy (there are sometimes exceptions)
  • Debts incurred within 90 days prior to filing for bankruptcy (might be challenged for bad faith)
  • Secured loans such as mortgages and car loans (unless you choose to surrender these items)
  • Tax debts less than three years old
  • Student loans
  • Child support and alimony obligations

Looking for a Mounds Discharging Debt Lawyer?
We Serve Clients Throughout Southern Illinois and Western Kentucky From Our Office Conveniently Located in Paducah.

To learn more about the types of debts you can get rid of and how it may affect you, contact our debt relief attorney or call us toll free at 866.702.8933 for a free consultation.

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.