When we file your case most of your debts are forgiven in bankruptcy. Even if your paycheck is being garnished the garnishment stops and the debt is forgiven. Although this is welcome news there are still some kinds of debt you’ll have to continue paying. This is in addition to any secured debts, debts where you have pledged the asset as security, such as a house or a car. For those types of debts, if you want to keep the collateral, you will have to keep paying the obligation. if you want to keep the asset.
In bankruptcy, child support is never forgiven. This includes past due child support as well as child support due in the future. Along with child support, payments for alimony and family support are also not discharged in bankruptcy. Although you wont be required to bring past due child support and alimony current when you file the past due amounts are not forgiven.
Fines and Costs Owed in Criminal Matters
Another debt that isn’t forgiven in bankruptcy is a debt from fines, court costs and debts from criminal cases. These include all debts associated with the courts. From simple speeding and parking tickets on up to felony probation fees this type of debt is not discharged.
Another very common form of debt that isn’t discharged in bankruptcy is student loans. Some time ago, banks started to make government guaranteed student loans. This loan was made regardless of the borrowers credit worthiness. In exchange for the creditor making the loan the government guaranteed repayment. In return, for this guarantee student loans were made non-dis-chargeable in bankruptcy. There is some case law that says in certain circumstances student loans are forgiven. This involves cases of extreme hardship or incapacity on the part of the debtor. Unfortunately, the Bankruptcy Courts in Oklahoma rarely forgive student loans.
These are only three of many certain other debts that are not wiped clean in bankruptcy. Other debts that are not forgiven are those you incur in anticipation of filing for bankruptcy, i.e. within 90 days of filing, and certain other debts owed for luxury goods and services.
Tulsa Bankruptcy Attorneys in Your Corner
If you’re facing crushing debt our Oklahoma bankruptcy attorneys know how to handle it. In many instances people avoid filing because of their fear of the unknown. We help take the fear out of bankruptcy. Chapter 7 and chapter 13 are tools available to you. Those tools will get you past the dark days of of creditor harassment and back into the light. Call for a free consultation 918.743.2233