I live in Houston and my payday loans are out of control, and I can't pay them! What can I do?

One thing you can do if you can't pay your payday loans, is file bankruptcy on them. The U.S. Congress passed bankruptcy laws so that people can get a fresh start, free of oppressive debts.

If you can raise the money to pay them off and get out of debt, that is great, and I applaud you. I believe in people paying their debts, if they can

But if you are in so deep with debts that you can't pay them, face the fact. Some of these payday lenders charge interest rates as high as 700%! You can solve your payday loan problems, and likely all of your debt problems, by filing bankruptcy.

Chapter 7- in chapter 7, you are asking the bankruptcy court to give you a complete release of your debts. If you have any "non-exempt" property like a lake house or stocks and bonds, it's possible that you would lose such luxury property.

But most people that file chapter 7 lose no property, only their debts. If you qualify for chapter 7 income-wise, it can be the way to go. If your income is higher than the median earner in your state, you may or may not qualify to file chapter 7.

Chapter 13- chapter 13 may be a good way for you to go, instead of chapter 7. In chapter 13, you pay what you can afford to pay for a minimum of 3 years, followed by a discharge or cancellation of what you cannot pay. Many of my payday loan clients like chapter 13 because we can file your case quickly, and for a small down payment.

Don't wait- if you are in trouble with payday loans, the harassment can become unbearable. If you can't pay them, filing bankruptyc is the legal and honorable way to get control of your debts, and stop the harassment. If you are a resident of the Houston, Texas area give us a call at 713-772-8037 anytime, 24/7 to set up your first free consultation, or to request more information.

We handle cases from the following Texas counties: Austin, Brazoria, Brazos, Chambers, Colorado, Fayette, Fort Bend, Galveston, Grimes, Harris, Madison, Matagorda, Montgomery, San Jacinto, Walker, Waller, Wharton.

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