Debt types that cannot be discharged under Chapter 13

Non-dischargeable debt Debts like student loans, taxes, money borrowed on a credit card to pay those taxes, child support and alimony are non-dischargeable and not covered under bankruptcy. If the court finds that you failed to account for property or concealed assets to cheat creditors, these debts might not be dischargeable because of fraud. Criminal fines and debts that exceed the number of payments outlined in the Chapter 13 plan are also non-dischargeable debts.

Chapter 13 bankruptcy Repayment will include amounts for unsecured debts such as past-due taxes, past-due home mortgage amounts, home or car payments and attorney fees. Chapter 13 bankruptcy reduces your debt and makes monthly payments more affordable. You don't have to sell your possessions to pay back your creditors; your repayment plan can also cover credit card debt and medical bills. If a life circumstance develops and affects your ability to pay, you can petition the court to reassess your plan. If the court decides that you don't have the resources to meet the plan goals, your Chapter 13 bankruptcy case can be dismissed. Once you've completed the plan's conditions and paid off your debts, your case will be discharged.