When you have burdensome debts and you finally want to wash your hands of them, filing for bankruptcy is always a good bet. The sad part is that some bills won’t just go away, even in bankruptcy. These are referred to as non-dischargeable debts. In chapter 13 and chapter 7 of bankruptcy laws in Denver Colorado, at the end of a case with debts, you will automatically get a discharge.
This applies to debts cases that are dischargeable in bankruptcy. However, there are some circumstances where the debts may be proven non-dischargeable especially if they do not meet certain specifications. If this is the situation you are facing at the moment, there is no need to worry as Barry Arrington your back on that.
As a highly experienced Denver bankruptcy attorney I will help you navigate the entire situation from a highly professional point of view. At the same case, I will try to help get a discharge for certain debts that had probably been deemed non-dischargeable. So, which are these non-dischargeable debts?
Non-Dischargeable Debts Denver
1. Secured Loans
Car payments and mortgages are a common example of secured loans. Such secured loans remain non-dischargeable even in bankruptcy. Well, unless you decide to give back the property.
2. Debts you Incurred after Filing for Bankruptcy
All the debt that you had before filing for bankruptcy will in most cases completely get wiped away if it qualifies for discharge. However, once you file for bankruptcy, all the debt that you incur thereafter remains yours. Once you file for bankruptcy you should do your best to limit any future debt.
3. Priority Unsecured Debts
While bankruptcy will wipe out the larger percentage of your unsecured debts, there is a smaller percentage of priority unsecured debts that will still not be eliminated. These debts will also get paid before the other unsecured debts in case there is money to pay the creditors. They include:
- Income taxes
- Domestic support obligations; child support and spousal support
- Government debts like fines, penalties and among others
4. Non-dischargeable Debts Acquired through Fraud
Engaging in fraud, a false pretense of even false representation comes with a steep price when it comes to filing for bankruptcy. Although these debts might still be dischargeable, in cases where the creditor files for adversary proceeding, your debts will be deemed non-dischargeable. Your Denver bankruptcy lawyer will tell you more about the adversary proceeding.
5. Student Loans
Students loans might not appear in the priority unsecured debts. However, these are loans that you still cannot discharge even when you file for bankruptcy. This is the case; unless you can prove that you have undue hardship. For instance, if you have any disabilities that are making it hard for you to work. You can many times work out repayment options for your student loan debt. Or you may want to look into refinancing your student loan.
6. Debts not listed in your Asset Case
People have this common belief that it is okay to omit some debts when filing for bankruptcy. Well, this is never an option as the bankruptcy laws require you to list all your debts. If the case is an asset case; one that involves the distribution of money to your creditors, and you fail to list the debt, it will be categorized under the non-dischargeable loans.
The rules of bankruptcy can get complex. You may feel you cannot afford a bankruptcy attorney. I mean afterall you are filing bankruptcy because you are too far in debt. Well, there are many bankruptcy attorneys that will work for a minimal flat fee. This means no hidden charges. It never hurts to have a free bankruptcy consultation.