Alabama Credit Card Debt Lawyer
Helping Clients Find Relief from Credit Card Debt
Credit card debt has become a huge problem for many Americans. Credit card companies prey on the naiveté of consumers in signing them up for one or multiple credit card accounts. At Brent W. Davis & Associates, L.L.C. in Birmingham and Pelham, Alabama, we assist our clients in not only dealing with those credit card companies, but also so-called debt relief agencies.
Easy Money with Harsh Consequences
Think of credit card offers as someone giving away free kittens, only the kitten that you receive becomes a tiger that eats you out of house and home. Credit card companies pass out offers like volunteers pass out fliers on the street. Once you sign up for their credit cards, you are at their mercy. Interest rates can go up at a credit card company’s whim if you are late with a payment to them. They can even conduct a review of your credit report and raise your interest rate based on delinquent payments to another creditor.
Debt relief agencies are not the solution. They promote themselves as an option to bankruptcy by “negotiating” with creditors to get your interest rates down or eliminated, allowing you to have one reasonable and consolidated monthly payment. The Federal Trade Commission has shut down many of these agencies for taking their customers money and not passing on that money to the creditors.
The only solution to a credit card debt problem may be Chapter 13 bankruptcy or Chapter 7 bankruptcy. While new laws are in place that may slightly complicate the process and add to the paperwork involved, both Chapter 7 and Chapter 13 are still viable options. We have found that the Means Test is mostly a “paper tiger”. On the small chance you do not qualify for Chapter 7 bankruptcy because of the means test, you can still file for debt reorganization through Chapter 13 and have very small payments.
Making a minimum payment on a credit card will not solve your credit card debt problem over the long haul. For more information, or to schedule an appointment with an experienced lawyer regarding credit card debt, please contact us.