BANKRUPTCY - DEBTS

Will Bankruptcy Wipe Out All of My Debts?

Yes, with some exceptions. Debts not normally discharged include:

1) child support or alimony obligations, fines, and some taxes;

2) debts you do not list on your petition to the Bankruptcy Court;

3) loans you obtained by knowingly giving false information to a creditor, who reasonably relied on it in making the loan;

4) debts resulting from "willful and malicious" harm;

5) student loans owed to a school or government body, unless: (a) the loan first became due more than seven (7) years before the bankruptcy was filed or (b)the court decides that payment would be an undue hardship;
mortgages and other liens which are not paid in the bankruptcy case (but bankruptcy will wipe out your obligation to pay any additional money if the property is sold by the creditor).

6) consumer debts owed to a single creditor in excess of $1,000 for luxury goods or services within 60 days of filing, or for cash advances on your credit line aggregating more than $1,000 within 60 days of filing.