What debts are able to be discharged through bankruptcy?

We are bankruptcy attorneys located in Eastgate, Ohio.  We specialized in Chapter 7 and Chapter 13 bankruptcy filings.

WHAT DEBTS ARE DISCHARGEABLE DEBTS IN CHAPTER 7 BANKRUPTCY

Many people when considering bankruptcy filing they will wonder what debts will they be able to discharge through the bankruptcy filing.  The good news is most debtors who qualify for Chapter 7 bankruptcy will be able to have most of their unsecured debts, including credit card debts and medical bills, discharged.  Therefore, the better question to ask would be what debts are NOT discharged under Chapter 7 bankruptcy.

DEBTS NOT DISCHARGEABLE UNDER CHAPTER 7 

Under some conditions that bankruptcy court may reject your bankruptcy petition and you will not be allowed to discharge any debts.  For example if you try to hide property, violate a court order, file and receive a discharge too recently, or you did not complete the financial management course your bankruptcy petition may be rejected.

But assuming the bankruptcy court allows you to move forward with your bankruptcy, there are 19 categories of debts which are listed in the Bankruptcy Code which are not dischargeable under Chapter 7 bankruptcy.

Certain debts are dischargeable because the court considers repayment a “public good.”  For instance, child support and spousal support payments are not discharged because the government believes repayment of these debts is critical to the survival of many families.  Other debts may not be discharged only if the creditor decides to object to the discharge of the debt.  For instance, the creditor objects and the court agrees the debts are not discharged.

 

WHAT DEBTS ARE NEVER DISCHARGEABLE UNDER CHAPTER 7 BANKRUPTCY

There are many debts which are never dischargeable under Chapter 7 bankruptcy.  These debts include any unscheduled debts which are not listed on the Chapter  petition, certain tax debts, fines and penalties which are owed to government agencies, spousal support, child support, student loan debt, debts for personal injury due to OVI, attorney fees for child support and spousal support claims, fines and penalties for criminal restitution and debts for tax-advantaged retirement plans.

If the majority of your debts is for any of the items listed above, Chapter 7 bankruptcy is unlikely to be your best option, but Chapter 13 will be available for your.

CREDITORS MAY OBJECT TO THE FOLLOWING DEBT DISCHARGE

There are other debts in which creditors may file motions to object to the discharge.  If the motion is filed and accepted by the court, the debt will not be discharged.  If the motion is denied, the debt may be discharged.

FREE CONSULTATION

Every situation is unique.  To see what debts you have that you will be able to discharge you need to set up your free consultation with one of our experienced attorneys call us at 513-752-3900 and be straight on your way to a fresh financial start!

 

MORE INFORMATION

For more information check out our website at Keegan & Co Attorneys, LLC

Call your Eastgate, Ohio bankruptcy attorney today!  We have helped your neighbors and we can help you get out of debt too!