Many people are confused about the different types of debt that exist. It is particularly important to clearly understand the different types of debt that exist when you are considering filing for bankruptcy, because certain types of debt can be cleared away and others cannot.
At the O'Brien Law Firm, LLC, our attorney is experienced in addressing different types of debt. With a background in law and engineering, attorney O'Brien is particularly adept at determining your best course of action. Located in Southaven, our law firm serves clients in northwest Mississippi and southwest Tennessee with their debt relief matters. Contact a Southaven credit card debt attorney today by calling us at 662-655-1012 or toll free at 866-504-5969.
Secured debt is the kind of debt that has property or an asset attached to it. For example, your home mortgage debt and your car note are secured because a home and a car are attached to the debt. In bankruptcy, these secured debts generally cannot be wiped away. However, there are ways to restructure some of these debts to make the payments more affordable.
In bankruptcy, your unsecured debt is often wiped away. Unsecured debt consists of obligations that do not have collateral. That means property or assets are not attached to the debt. In most bankruptcy cases, it is possible to get rid of unsecured debt completely, and potentially get out of certain types of contracts including:
- Credit card debt
- Medical debt
- Satellite contracts
- Phone contracts
- Some tax debt
- Some second mortgages
- Judgments against the house (exceptions exist)
There is another type of debt that it is even more difficult to address than secured debt. Non-dischargeable debts cannot be wiped away. Some common non-dischargeable debts include student loans, alimony and child support payments, tax debt less than three years old, and fines or restitution from a criminal proceeding.
Contact an Olive Branch Unsecured Debt Attorney
If you need a lawyer to help you get rid of your unsecured debt, contact the O'Brien Law Firm, LLC, by filling out the form online, or by calling us at 662-655-1012 or toll free at 866-504-5969.
We are a debt relief agency. We help people file for bankruptcy relief under the bankruptcy code.