Credit card debt is a serious problem for many Louisiana residents and for others across the country. A number of consumers have amassed such a significant amount of debt from regular credit card use that they may worry about ever being able to pay off the account balances. While there may be multiple solutions to dealing with this issue, one possible option may be to file Chapter 7 bankruptcy.
Outstanding credit card debt is on the rise for millions of Americans according to a recent report from the Federal Reserve. The report showed that revolving credit increased 13 percent to $1.02 trillion in November. Another survey conducted disclosed that about 31 million American adults did not think they would ever get out of debt.
Fortunately, many in this situation have several options at their disposal. One choice is filing for Chapter 7 bankruptcy, which is one of the most common forms filed by individuals. Through this option, an individual's assets are liquidated and debt is wiped out. An automatic stay is also put into place that prevents creditors from seeking further payment.
Anyone interested in learning more about Chapter 7 bankruptcy could consult an experienced Louisiana attorney for more information. In addition to providing information on this form, an attorney could also advise someone on the other forms available and help with the filing. Even if a person chooses not to file bankruptcy, speaking with an attorney may help in gaining an understanding of the various alternatives available to achieve debt relief once and for all.
Source: USA Today, "Credit card debt: 31 million could still owe some when they die", David Carrig, Jan. 13, 2018