What types of debt can be discharged through bankruptcy?

Bankruptcy is a way of eliminating some or all of an individual’s debt. There are two types of bankruptcy filings in California: Chapter 7 and Chapter 13. Both options provide debt relief, but the types of debt that can be discharged vary between the two. Under Chapter 7 bankruptcy, most unsecured debts, such as medical bills and credit card bills, can be discharged. This type of bankruptcy also eliminates other debts, such as business loans, personal loans, and certain taxes. However, some debts cannot be discharged under Chapter 7, such as child support payments, alimony, and student loans. Under Chapter 13 bankruptcy, most types of debt can be discharged, including secured debts like mortgages and car loans. However, certain types of debt such as taxes and child support cannot be discharged under Chapter 13. Overall, the type of debt that can be discharged under bankruptcy varies between Chapter 7 and Chapter 13. Bankruptcy is a complex process, so it is important to understand the differences between the two types of filings and the types of debts that can and cannot be discharged. It is also important to consult with an experienced bankruptcy lawyer to make sure you are taking the right steps for your circumstances.

Related FAQs

What is the meaning of a bankruptcy discharge?
What are the consequences of filing for bankruptcy?
Does filing for bankruptcy have any effect on other legal proceedings?
Which debts cannot be discharged in bankruptcy?
What is the difference between a bankruptcy trustee and a bankruptcy lawyer?
What is the difference between secured and unsecured debt?
Will filing for bankruptcy stop a lawsuit?
What will happen to my creditors if I file for bankruptcy?
Is bankruptcy a public record?
How do I know if I am eligible for Chapter 7 or Chapter 13 bankruptcy?

What types of debt can be discharged through bankruptcy?

Related FAQs

Related Blog Posts