Debt is the Slavery of the 21st Century

While this is a particularly strong statement, this article written by Brian Carr is relevant and thought provoking.  As Mr. Carr succinctly explains, debt means you owe someone and you must work to pay off that debt.  He points out that when you owe massive debt, the creditor owns you.  You are not earning money for yourself to be used to further your interests but rather satisfy the obligation you owe.  The creditor seeks every disposable dollar you earn to pay off the principal and interest that is accruing on that debt.  And the longer you take to pay it off by making minimum payments, the more, it seems, you owe (and the more money the creditor earns off of you).  The feeling is like a bottomless pit.

There are options and bankruptcy is one of them.  Modesto bankruptcy lawyer Briann Haddix can advise you on all of your options under the bankruptcy code.  For example, Chapter 7 allows a debtor to discharge their debts and retain certain “exempt” property.  In California, a debtor may keep up to $26,775 in value of vehicles, toys, money in bank accounts, and collectibles.  In the overwhelming majority of California bankruptcy case, debtors keep all of their property.

In Chapter 13, debtors keep all of their property but repay a portion of their debts over three years or five years.