An unsecured debt is a debt that is not secured, or attached, to collateral. In other words, if you don’t pay an unsecured debt they cannot come and repossess or seize property. Instead, a creditor would have to file a lawsuit against you and obtain a judgement on that lawsuit before they could try to seize any property. Common examples of unsecured debts are credit cards, medical bills and personal loans. These are different than a mortgage, for example, that is secured by a house. An unsecured debt can usually be completely wiped out in a Chapter 7 bankruptcy […]