Can I get rid of my payday loans in bankruptcy? My payday lenders are calling me night and day and saying they will come to my job.

Yes, payday loans are like any other unsecured debt, and you can discharge them in bankruptcy. We have clients that come in and have 6, 7, even 8 different payday loans. There is no way anyone could keep up with that many payday loans, when they are charging 300% or 500% interest.

If that is the main problem, you may want to file chapter 7 bankruptcy to just discharge or cancel the loans. Some clients cannot pay the full attorney fee for a chapter 7, so they choose to file chapter 13.

For those people that are under the median income for Texas, we can file them in a chapter 13 plan to pay $150 per month for 36 months (it's payroll deducted); any remaining debt including payday loans, medical debt, credit cards, etc. is cancelled or discharged, and our attorney fees are paid in full through the plan. We only need $346 (single person) or $376 (couple) to get the case started.

J Thomas Black
Board Certified, Consumer Bankruptcy Law- Texas Board of Legal Specialization