Credit Card Debt

Having a large amount of credit card debt is one of the most common reasons that individuals file for bankruptcy protection. However, before filing for bankruptcy, you should discuss your case with a Boca Raton bankruptcy attorney.

Not all credit card debt is treated the same. In addition, different types of bankruptcy may treat your debt differently. A Boca Raton bankruptcy attorney can help advise you on the appropriate steps to eliminate your debt and get you back on track for financial stability.

Chapter 7 - Boca Raton Bankruptcy Attorney

Typically, you may be able to discharge your credit card debt through the Chapter 7 bankruptcy process. This means that when the bankruptcy process is over, you will not owe anything to the credit card companies or debt collectors. However, there may be special circumstances where your credit card debt will not be discharged. In these cases, you will need to work with a Boca Raton bankruptcy lawyer.

Some special circumstances where your credit card debt may not be discharged in Chapter 7 proceedings include:

  • Fraud such as using your credit card to purchase big-ticket items shortly before filing for bankruptcy.
  • False pretenses like using your credit card to take out a large cash advance right before filing for bankruptcy
  • Other cases that may indicate misrepresentation or fraud

Chapter 13 - Boca Raton Bankruptcy Attorney

Unlike Chapter 7 bankruptcy, a Chapter 13 bankruptcy will not completely wipe out your debt. Instead, this type of bankruptcy helps you reorganize and establish a repayment plan.

In Chapter 13 bankruptcy, you will work out a repayment plan with your creditors including your credit card company to pay back your debt over a set period of time. Your Boca Raton bankruptcy lawyer can explain to you exactly how these repayment plans work. However, your specific plan will spell out exactly how much of the credit card debt you must pay back.

Contact a Boca Raton Bankruptcy Attorney

If you have any questions about how to handle your credit card debt and the effects of bankruptcy, talk to a Boca Raton bankruptcy lawyer.

Filing for bankruptcy can be an effective way to eliminate your credit card debt and stabilize your finances. However, you will need to know what type of bankruptcy is best for you and the process to file. This is where a Boca Raton bankruptcy attorney can help.

Contact experienced Boca Raton bankruptcy attorney Peter J. Snyder by calling 561-544-7324 to discuss your case.