Attorney Joshua LawhornWhile every person I meet with has different circumstances, there are certain things that occur in the majority of cases. Whether it be unpaid medical bills, delinquent car and mortgage payments, or pay day lenders, it is rare that I see a situation that I have not dealt with before. One common question is “Do I have to include debt that is not delinquent?” The short answer is yes.

Usually, this occurs with a creditor that the person has used for many years and he or she may want to continue paying this creditor because they “don’t have a problem with them” or “they have been good to me.” Regardless of your perceived relationship with a creditor, all must be included.

On some occasions, I meet with an individual who is current on all of their outstanding debts. This does not mean that person will not benefit from some sort of debt relief. The debtor may barely be able to make the minimum payments. Making minimum payments on debts such as credit cards can prevent the debtor from paying off said debt for many years.

Instead of mainly paying interest for years on end, there is the option of wiping out the debt through a Chapter 7 case, or reorganizing the debt through Chapter 13. If the debtor chooses the personal reorganization, the debt can be paid off in five years or less. While paying the debt back may not seem ideal, you have the assurance that the most you will pay is the principal amount owed on unsecured debt at the time of filing the Chapter 13 case.

If you find yourself in a situation where you cannot meet your financial obligations, it would not hurt to talk with an attorney. We are more than able to handle any your financial issues and get you on track to a stable financial future. If you would like to set up a free consultation with one of our experienced attorneys, please contact our office nearest you.

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