Are you a victim of our consumerist society? Did all of the seasonal sales and holiday vacations get your finances in a bind that you were not expecting? Did the credit card special offers pile up into a large sum of debt with minimum payments you cannot afford? These are all common scenarios in building debt that slowly accumulate into a Godzilla amount. Frivolous spending is usually done on credit cards. Shopping on consumer items like clothes and electronics can become an important issue if your debt continues to grow due to consumer goods. Banks send you promotional offers on credit cards and rewards points so that you will be drawn to using the credit cards and may miss a payment here and there to add even more to your debt about by adding penalties and raising your interest rate. There is no good side of having a lot of consumer debt and owning too many consumer goods, but a bankruptcy can pave your way to correcting the issue.
Consumer debt on credit cards is referred to as revolving debt and unsecured debt. This type of debt is called revolving because the credit line revolves into a completely renewed credit line once it has been paid. The debt is also called unsecured because it is not attached to any value of an asset unlike a home mortgage which is tied in to the value of your home. A bankruptcy can completely eliminate unsecured or revolving credit lines as a result of the bankruptcy process. The bankruptcy process results in a discharge of debt, eliminating the ability for creditors to collect on debt amounts that are owed to them. It does not matter what you spent the money on. Whether it is gambling debt or debt from shopping over many years, if you can qualify for a bankruptcy, all of this debt will be eliminated.
Clothes, dining out, travel expenses all spent on a credit card will be eliminated in a bankruptcy upon the completion of the process. Once your petition is filed in court, you will be protected against collections activities until your bankruptcy is concluded. You should not be embarrassed about a debt situation. Leave your emotions behind and treat your debt like a business would. Get rid of your debt and make sure the same activity will not occur again to put you in a difficult situation. A bankruptcy will eliminate your debt and set yourself on a path to financial freedom where your income stays in your pocket and not any of your creditors.
Bankruptcy Law Professionals is a Bankruptcy Law Firm located in Southern California with offices in Riverside and Orange County. We offer free consultations for all of our clients with our attorney and no commitment. Contact us at 855 257-7671 to schedule an appointment.