Which Debts Do I Still Owe after Bankruptcy?
Near the end of your bankruptcy case, your debts are discharged. This means that you no longer bear the legal obligation to repay those debts. However, certain debts are excepted, or excluded, from discharge. The following list contains debts among those generally not discharged in bankruptcy: 1. Domestic support obligations. This includes alimony, maintenance or support for a spouse or children 2. Student loans. Most student loans are non-dischargeable. However, you can ask the Bankruptcy Court for a partial or full discharge of this type of debt. The Court will only grant a discharge is you can prove that repaying the debt is an “undue hardship.” 3. Most taxes. The majority of taxes cannot be discharged. There are exceptions, but the process to determining “dischargeability” is complicated. Discuss this in more detail with your attorney. 4. Debt incurred through fraud or false pretenses. In bankruptcy, this generally means that you borrowed the money with no intention of repaying the
Many of your debts will be discharged after your complete your Chapter 7 or Chapter 13 bankruptcy. When you receive your discharge order from the bankruptcy court, then you no longer have legal responsibility to repay those debts. However, certain types of debts cannot be discharged in either a Chapter 7 or Chapter 13 bankruptcy. You will still be responsible for repaying these debts after you file for bankruptcy. Bankruptcy does not eliminate: • Student loans. Almost no student loans are canceled as a result of a bankruptcy’s discharge order. While you can ask the court to discharge the loans if you can prove that paying them is an “undue hardship,” courts only approve this request in the most extreme hardship situations. • Debts for most taxes. The vast majority of tax debts cannot be discharged. However, occassionally, older tax debts may be discharged. If you have tax debts, please call Attorney Weber at (203) 653-5133 to find out if these debts may be discharged. • Debts for alimo
When your bankruptcy is completed, many of your debts are “discharged.” This means they are canceled and you are no longer legally obligated to pay them. However, certain types of debts are NOT discharged in bankruptcy. The following debts are among the debts that generally may not be canceled by bankruptcy: Alimony, maintenance, or support for a spouse or children. Student loans. Almost no student loans are canceled by bankruptcy. Money borrowed by fraud or false pretenses. A creditor may try to prove in court during your bankruptcy case that you lied or defrauded them, so that your debt cannot be discharged. Credit card companies may try to intimidate a borrower into reaffirming debt rather than having it discharged in bankruptcy by frivolously claiming the debt was incurred by fraud. If you have done nothing wrong, it is important to stick to your guns. It is almost never a good idea to reaffirm credit card debt. Most taxes. The vast majority of tax debts can not be discharged. Most
