Atlanta Bankruptcy Attorneys Clark & Washington Discuss the Types of Claims in Bankruptcy

    ATLANTA, GA, February 06, 2015 /24-7PressRelease/ -- The Atlanta bankruptcy attorneys at Clark & Washington wish to inform the public of the different types of creditor claim classifications that exist. Understanding the type of debt you have and the claim your creditors have against you to collect on that debt is of crucial importance.

When you are asked to file a "schedule" as part of your bankruptcy filing, you are being asked to list of all of your real property, personal property, your detailed income information, monthly expenses and much more. The main items that you are also required to document are the claims of your creditors and the claim type. You are specifically asked to identify which type of claim each one of your creditors has. There are three types of claims: secured claims, unsecured claims and priority claims.

Secured Claims

A creditor has a secured claim against you if they maintain a security interest in property that you own. This is typically referred to as having a lien against your property or holding your property as collateral. Even though your personal liability may be discharged in bankruptcy, creditors are typically still allowed to continue getting paid on your debt or retrieve the agreed upon collateral.

Unsecured Claims

An unsecured claim is a general claim for a debt when the creditor has no collateral and no security interest in your property. Most unsecured debts are credit card debt, personal loans, student loans, medical bills and utility bills. Clark & Washington's experts in Atlanta bankruptcy law note that an unsecured debt can become a secured claim if the creditor obtains a judgment against you.

Priority Claims

Certain debts take priority over other debts, and that is exactly what a priority claim is. These are claims that will be paid first over other claims if a debtor has available funds or assets to be sold to collect on the debt. Priority claims are typically child support, alimony and taxes. Priority claims are non-dischargeable claims, which means that filing for bankruptcy will not alleviate you of your obligation to pay these debts. If you plan on filing for bankruptcy and have any priority claims, you should consult an experienced Atlanta bankruptcy attorney to handle the filing.

For more information on creditor claims in Atlanta bankruptcy, visit http:///cw13.com.

About Clark & Washington:

Established in 1983, Clark & Washington is now one of the leading bankruptcy filers in the Southeast. They have locations in Georgia, Florida and Tennessee. Clark & Washington specializes in personal chapter seven and 13 bankruptcy. They offer honest, helpful legal advice to those experiencing financial hardships.

For more information, visit http://www.cw13.com.

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