What debts can be discharged in Chapter 7 Bankruptcy?

In Chapter 7 Bankruptcy Law in Idaho, a debtor can discharge most (but not all) of their debts. Generally, the debts that are eligible for discharge include, but are not limited to, credit card debt, medical bills, personal loans, certain taxes, and certain utility bills. Dischargeable debts do not include certain taxes, such as trust fund taxes which are collected by the IRS, as well as student loan debt and alimony. Additionally, certain types of debt will not be dischargeable if the debtor has received luxury goods or services within the 90 days prior to the filing of the bankruptcy petition. These types of debt include cash advances of more than $750 within 70 days of filing for bankruptcy, debts obtained through fraud, and debts incurred as a result of willful and malicious acts. In addition to discharging certain types of debt, Chapter 7 Bankruptcy Law in Idaho also includes provisions to help the debtor modify certain secured debts, such as mortgages, car loans, and other secured debts. The debtor can have these debts modified so that the lender does not have to provide any additional funds to the debtor on the terms of the original contract. By filing for Chapter 7 Bankruptcy Law in Idaho, a debtor will be able to discharge their eligible debts and receive a fresh start. However, filing for bankruptcy is not a simple process, and it should only be done after careful consideration and with the assistance of a qualified attorney.

Related FAQs

What debts can be discharged in Chapter 7 Bankruptcy?

Related FAQs

Related Blog Posts