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How Does Bankruptcy Impact Debt?

At the Law Office of Paul R. Idlas in Grayslake, Illinois, I help clients solve their debt problems by guiding them through the Chapter 7 or Chapter 13 bankruptcy process.

Chapter 7 wipes out debt while Chapter 13 reorganizes debt into a manageable payment plan. Which form of bankruptcy you pursue will depend on your individual debts and income. I can help you determine if bankruptcy is right for you and guide you through the debt relief process.

Unsecured And Secured Debts

Bankruptcy can solve problems involving all types of debt, including:

  • Credit card debt: In most cases, credit card debt can be eliminated in a Chapter 7 bankruptcy.
  • Medical bills: Like credit card debt, medical debt is unsecured and can be wiped out in a Chapter 7 bankruptcy.
  • Payday loans: Aggressive payday loan venders have taken advantage of numerous people in the Chicago area, sometimes charging as much as 800 percent interest. Bankruptcy wipes out payday loan debt.
  • Mortgage debt: If you want to keep your home, the Chapter 13 option may be best for you. It allows you to get up to date on your mortgage while keeping your property.
  • Vehicle loans: Bankruptcy stops vehicle repossession and other creditor actions.
  • Tax debt: Bankruptcy can eliminate tax debt under certain circumstances. It depends on the nature and age of your debt.
  • Student loan debt: Bankruptcy can discharge student loan debt only in rare circumstances. However, filing for bankruptcy can free up cash flow to help you get your student loan debt under control.

If you are struggling with debt and looking for a way out, bankruptcy might be the best option for you.

How To Contact Me

I can help you determine if bankruptcy is right for you. Call me, Lake County bankruptcy law attorney Paul R. Idlas, at 847-986-8862, or contact me online.

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