Credit Cards and Bankruptcy

Dealing With Massive Credit Card Debt?

People from all walks of life struggle with credit card debt. But when credit card debt becomes more than just inconvenient — when it becomes overwhelming — debtors do have options.

At Derren S. Johnson & Associates, we help people seek credit card debt relief through bankruptcy. Attorney Derren Johnson has over 25 years of experience in bankruptcy law, and can help you explore all your legal options to discharge your debt. Contact us online or call 888-564-6766 to schedule a free initial consultation in our Baton Rouge law office.

Exploring Your Options

Credit card companies are out to make a profit — not to help you out when times get tough. If you are dealing with credit card debt — and other debt relief options have not helped — bankruptcy may be a viable option:

• Chapter 7 bankruptcy — This type of bankruptcy involves the liquidation of debt. Debtors may be required to sell non-exempt property to repay creditors. Eligibility for Chapter 7 bankruptcy is determined through a means test.
• Chapter 13 bankruptcy — This type of bankruptcy reorganizes an individual's debt and forms a repayment plan, allowing debtors to pay back a portion or all of their debt over a three to five-year period. Chapter 13 bankruptcy also stops foreclosure.

Bankruptcy stops creditor calls and allows a fresh start after struggling with credit card debt. If you have been making minimum monthly payments for years with no end in sight, it may be time to consider bankruptcy.

Credit card debt can result in a judgment and the basis for seizure and sale of the debtor's home. However, a 2009 amendment to Louisiana law places restrictions on such seizure. In particular, stringent restrictions exist if serious illness or injury to the homeowner, or natural disaster is the cause of the debtor's inability to pay mortgage debt.

Contact Us

For more information about bankruptcy as a way to deal with credit card debt, contact a lawyer by calling 888-564-6766. We offer a free initial consultation.