Law Office of Ruth Nelson - Seattle Bankruptcy Attorney
Law Office of Ruth Nelson
What Can Bankruptcy Do For Me?
What Can Bankruptcy Do For Me?

Understanding debt discharges in Chapter 7 bankruptcy

On Behalf of | Aug 1, 2019 | Chapter 7

Debt usually gets out of control when a person loses their income source or is facing additional expenses such as medical bills. If your income is no longer sufficient to pay off your debts, you may want to consider filing for Chapter 7 bankruptcy.

Chapter 7 bankruptcy can be beneficial to many who qualify for it for two main reasons. First, Chapter 7 bankruptcy is completed much quicker than other bankruptcy filings. Second, Chapter 7 bankruptcy liquidates assets and usually writes off all other debts through a debt discharge.

What is a debt discharge?

A debt discharge is the wiping clean the debt responsibility of bankruptcy filers, and it is issued by the bankruptcy courts. In the vast majority of cases, debt discharges are experienced by those who have filed for Chapter 7 bankruptcy. However, in some cases, a debt discharge may be denied. Additionally, some debts cannot be discharged.

Under what circumstances will debt discharges be denied?

You may be denied a debt discharge if you failed to record your finances accurately and comprehensively. Additionally, if you committed a bankruptcy crime such as perjury or did not obey the orders of the court, your debt discharge will likely be denied.

What debts cannot be discharged?

Debts that are due to unpaid alimony or child support will never be discharged through bankruptcy. Additionally, loans for education costs or debts due to criminal restitution orders will not be written off.

If you are struggling with overwhelming debt and a diminished income, filing for Chapter 7 bankruptcy may be able to give you a chance at living a life free from debt.

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Law Office of Ruth Nelson
7742 14th Avenue NW
Seattle, WA 98117
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