What is a non-dischargeable debt?

A non-dischargeable debt is a type of debt that cannot be eliminated in a bankruptcy proceeding. It is a debt that must be paid off even after a debtor has declared bankruptcy. In Texas, the most common types of non-dischargeable debt include taxes, child support obligations, alimony, student loans, debts for personal injury caused by the debtor’s operation of a motor vehicle while intoxicated, and criminal fines. These debts cannot be eliminated in a bankruptcy because of the importance of protecting the interests of creditors, the government, and other entities whose interests should be favored by the law. The reason for this is that these creditors have significant investments in the debtor and the bankruptcy code does not want to completely eliminate their rights to be repaid. In order to be sure that these debts are dealt with properly, debtors have to list all of their non-dischargeable debts in their bankruptcy petition. Then, they must provide proof of these debts to the court. After a successful bankruptcy, the court will order the debtor to pay all of the outstanding non-dischargeable debts before the bankruptcy is completed. It is important for debtors to be aware of the rules surrounding non-dischargeable debt in Texas. If a debtor does not satisfy their non-dischargeable debt obligations, they could still be held liable for the remaining amount and any associated interest.

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What is a non-dischargeable debt?

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