What happens to my debts when filing for Chapter 7 Bankruptcy?

Filing for Chapter 7 Bankruptcy in Texas can be the first step in getting rid of your debt. By doing so, you are essentially giving up your claim on any outstanding debts, which allows the court to discharge them. When a debt is discharged, it is essentially wiped away and you no longer owe it. This does not apply to all debts, however. Certain types of debt cannot be discharged, including student loans, tax obligations, child support, and alimony payments. When filing for Chapter 7 Bankruptcy, all your eligible debts will be listed in the petition. When the bankruptcy is granted, the court will issue an order of discharge. This order will serve as proof that your debts have been discharged. All creditors must cease collection activities upon receipt of the order. Creditors cannot legally threaten or harass you in an attempt to collect debt after the bankruptcy has been granted. It is important to remember that while bankruptcy does offer a fresh start, it does not get rid of all of your debt. You may still have to pay back some creditors, depending on the type of debt and the terms of the bankruptcy. It is always important to speak with a qualified bankruptcy lawyer who can help you understand the specifics of your individual case.

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What happens to my debts when filing for Chapter 7 Bankruptcy?

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