Credit Card Debt


At Perrotta & Cahn we understand how easy it is to fall behind on credit card payments, and we know how much relief our clients feel when their credit card debt is settled or discharged. Please take a moment to learn more about tackling credit card debt below.

Wipe Out Credit Card Debt with Chapter 7 or Chapter 13 Bankruptcy

Overwhelming credit card debt is often the reason people consider filing for bankruptcy. First of all, when credit cards have high interest rates, even reasonable spending can quickly lead to large balances. Moreover, it is not unusual for people who are struggling with other bills, such as a mortgage and vehicle loans, to devote their paychecks to those bills and then rely on credit cards to buy food, clothes and other necessities. In this way, people may suddenly become overburdened by credit card debt on top of their other obligations.

Both Chapter 7 and Chapter 13 bankruptcy can help people relieve credit card debt. Chapter 7 is often preferable for those with high credit card debt because it completely discharges (wipes out) the credit card debt and gives debtors a fresh start after bankruptcy. However, some people do not qualify for Chapter 7, or may be better served by filing Chapter 13. In these cases, debtors pay back some or all of their credit card debt over a three to five year period at an affordable rate. When the repayment period is over, any remaining credit card debt is discharged.

Credit Card Debt Settlement – An Alternative to Bankruptcy

Filing for bankruptcy is not always the best option for people with credit card debt. Seeking a resolution with creditors and negotiating a debt settlement plan can help by:

  • Lowering or eliminating interest payments
  • Reorganizing your credit card debt
  • Eliminating late fees
  • Stopping creditor harassment

It is important to understand that setting up a credit card debt settlement plan is not without risks. For example, if an account has already been turned over to an independent collections agency, creditors may still contact you about your debt and your payments may not be reduced. This is why it is critical to talk to an experienced debt relief attorney about the best way to successfully tackle credit card debt.

Talk to a Georgia Debt Relief Lawyer about Your Credit Card Debt

If you are overwhelmed by substantial credit card debt, please contact Perrotta & Cahn to arrange a free initial consultation at one of our offices. With locations in Cartersville, Calhoun, Dalton and Dallas, we serve clients throughout northwest Georgia.