Debt does not always play fair. Many individuals and families find themselves in financial crises due to factors beyond their control. Even worse, debt problems tend to worsen over time, leading to situations where people have no idea how they will ever pay what they owe and retake control of their lives.
No matter how dire your financial circumstances may seem, do not lose hope: You have options. At the Law Office of Matthew Doyaga, LLC, our Columbus debt relief lawyer can provide the approachable, tailored guidance you need to overcome crushing debt.
After taking the time to listen to your story, we will walk you through your relief options and recommend the best path forward. We will work directly with you throughout the process and do everything we can to get you the fresh start you deserve.
Most types of debt can be categorized as “secured” or “unsecured.” This distinction determines how the debt is handled, what creditors can do if you do not pay it, and what options you have for managing it.
Secured debt is “secured” by some form of collateral. Examples include mortgages and vehicle loans. In a mortgage, the home and real estate property is collateral that can be seized by the lender and sold through foreclosure if the borrower defaults on the loan. This type of debt is tougher to eliminate, especially if you want to keep the associated secured property.
Unsecured debt has no collateral. Lenders only grant these loans because of the borrower’s perceived creditworthiness. Examples include credit card debt and medical debt. Because there is no collateral, lenders must resort to other tactics to recover what is owed when a debtor cannot pay. In most cases, the debt will be sold to a collection agency, and debt collectors may eventually sue the borrower. This type of debt tends to be much easier to erase.
Your levels of secured debt versus unsecured debt will influence how we approach your relief strategy. Law Office of Matthew Doyaga, LLC will carefully evaluate your situation and get to work on a personalized plan.
How we handle your case will depend on your unique financial circumstances. Someone with a large amount of unsecured debt will need a different relief approach than a person with mostly secured debts. Your current level of reliable income will also affect the options available to you.
Our Columbus debt relief attorney can assist you with many types of strategies, including:
- Credit Counseling. In some cases, a little financial planning can go a long way. We can connect you with credit counseling programs that can assess whether budgeting and spending cutbacks can help you get on top of your debt.
- Debt Consolidation. If you mostly have unsecured debts, you may be able to consolidate them into a single monthly payment. If you still have decent credit, this will in most cases reduce your monthly payment amount and interest rate.
- Debt Settlement. You may be able to convince your lender to settle your debt for less than what you owe. To accomplish this, you will need to have enough financial resources on-hand to offer a “lump sum” payment. Your lender is not required to agree to a debt settlement, and many do not. Lenders will generally only agree if they believe accepting a settlement is the most financially advantageous option.
- Debt Management. Lenders often prefer to receive some money instead of nothing, so we may be able to obtain reduced monthly payment amounts and interest rates. The reduced amount will reflect what you can currently afford.
- Bankruptcy. If your lenders refuse to negotiate or other options are not available, you may need to consider filing for bankruptcy. This powerful form of relief protects you from creditors and allows you to erase unsecured debts. Chapter 7 bankruptcy is for debtors with little to no current income, while Chapter 13 bankruptcy can be useful if you have consistent income and considerable secured debts.
Though we are primarily a bankruptcy firm, we recognize filing is not necessarily right for everyone. Our Columbus debt relief lawyer will sit down with you and explain all your relief options, including bankruptcy, in terms you can understand.
Your well-being and peace of mind is our top priorities. We will always be honest and direct when advising on how best to approach your debt troubles.