New Rules on Discharge of Credit Card Debt in Bankruptcy Court

The economy is in a spot that it has not been in for a long time. The stock market is going crazy and the housing market is not much better. Many people have recently found themselves upside down on their homes. This combined with the fact that many people are out of work means that people have to find ways to pay for things where they would have used their income before. Many times the way that people pay for these things is with credit cards.

Credit cards can quickly build up on you and enslave you with high interest rates and turn on you in a matter of months. When all of these things add up, the debt and financial obligations can quickly put you under and overwhelm you in no time. One option that many people are deciding to take advantage of is bankruptcy. Bankruptcy is a process that essentially eliminates your debt by paying the lenders a portion of what they are owed through a restructuring or a debt consolidation. There are many complex laws that go into determining who is eligible for a bankruptcy including some new rules on the discharge of credit card debt with bankruptcies, so it is important to have some understanding about what steps you need to take to complete a successful bankruptcy.

The new laws and rules that go along with credit card debt bankruptcy have actually made it easier than ever to settle your credit card debt. There are both benefits and disadvantages that go along with filing bankruptcy so it is crucial that you go through all of the information that is available to see if bankruptcy is really for you.

When you declare bankruptcy you are allowed to do so by court order. The court allows you to repay your liabilities by taking your assets to pay for a portion of the owed debt. As you will have to go through some legal proceedings it will be important for you to get a lawyer to help you through the process. Your lawyer will have experience with laws and the new rules that apply to discharging credit card debt.

Going through the bankruptcy process alone is not an easy thing to do. Find an El Paso bankruptcy lawyer that can help answer your questions and that will walk you through the process so you never find yourself wondering what you should be doing next.