UNSECURED DEBTS

The unsecured debt would include primarily credit card balances, where you are carrying a balance every month, medical debt, any kind of unsecured loans that you may have (including friends and relatives). If you’ve had a car repossessed and there is still a balance remaining that is also considered unsecured debt.

Other things would be an inactive cell phone bill or cable bill, where you left that particular location with an unpaid balance on the bill.

There are two kinds of debt however, that we don't consider unsecured. That would be taxes that are due, and student loan debt. The reason why we don't call these unsecured is because they can not be forgiven in bankruptcy. Also, they can be taken from your tax refund. So, these are in some cases secured, and for our discussions, we would not to include these unsecured debts.