California | Bankruptcy
Legal Question
Overwhelming debts
I was injured and out of work for a few years. During that time I was able to make minimum payments on my credit cards from my savings. As I ran out of money, I was late several times and now my interest rates are 25-29%. I have been working for about a year taking home $2500/mo; I pay around $1,000/mo on the debt that never seems to decrease because of the high interest. My total unsecured debt is $25,000 (all credit cards and a few remaining doctor bills). I've elimiated Debt reduction strategies because they appear to cause a taxeable event. I have no assets to speak of, no savings and my checking account is drained each month. Should I consider filing bankruptcy? In CA only 75% of my wages are exempt but I don't understand what that means exactly. I believe my wages are safe after the filing date but what happens before that date?
Thank you for any help.
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