In most cases, a Chapter 13 will not discharge all debt. This is because there are certain kinds of debt which cannot be added to the case either due to the nature of the debt or the length of time it will take you to repay the debt to the creditor. The amount of debt you will have after you have completed the repayment portion of your repayment plan will depend on the kinds of debts you have and your income in regards to the debts. It is a good idea to talk with your bankruptcy attorney about what you will be able to discharge in the bankruptcy and what will have to remain after.
General Overview of What Cannot be Discharged
There are some debts which will never be removed through a Chapter 13 in Georgia. These are the debts which are generally recognized by the courts as debts which you will responsible to pay through a normal course of time. These debts include, but are not limited to:
- Those not compensated for in a wage-earner plan.
- Fines and restitution resulting from criminal behavior.
- Educational loans.
- Some long-term obligations including mortgages which will extend beyond the repayment plan.
- Those incurred from driving while intoxicated.
- Those such as alimony and child support.
A Look at Child Support and Alimony
There are a few different ways in which a Chapter 13 bankruptcy in Georgia can handle child support or alimony. While the debt may not be discharged, it is possible to have it put on hold while you are repaying your debt that can be discharged. This will allow you to remove additional costs which will make it impossible to be able to meet your financial obligations to other debts that you will have.
In the case that the money is needed immediately by the recipient, a Chapter 13 bankruptcy in Georgia can be organized in such a manner in which it is possible to put the child support at the head of the list to be collected for payment. This will allow the amount to be collected prior to paying off other creditors. It is important to note that in order for this debt to be included in the Chapter 13, you will have to have been current with the payments up to the time when you filed for bankruptcy. If not, you will be expected to pay up to the current balance.
A Look at Student Loans
In general, it is not possible to have your student loans included in your Chapter 13 bankruptcy in Georgia. This does not mean it is impossible to have the debt discharged. There are a few different guidelines you will have to meet in order to get started with adding your student loans to the list to be discharged. For starters, you will have to file a separate document of hardship to have the removal of student loans added to your Chapter 13. There are no set guidelines for how judges need to proceed in granting hardship discharge on student loans. In general, they look to make sure you do not have the money to pay without causing harm to you and your dependents, that your hardship will last a long time and that you have made a good faith effort to pay the debt before filing your Chapter 13.
Related Posts
- Debts That Can Remain After Chapter 7 Bankruptcy in Georgia
- Discharge of Chapter 13 Bankruptcy in Georgia
- Eliminating Tax Debts in Bankruptcy
- Eligibility for Chapter 13 Bankruptcy in Georgia
- Preparing for a Chapter 7 Bankruptcy in Georgia
- Getting to know the Parties Involved in Chapter 7 Bankruptcy in Georgia
- Who Can File for Chapter 7 in Georgia?
- Georgia Chapter 13 Bankruptcy Paperwork Requirements
- Chapter 7 Bankruptcy in Georgia Debt Discharge
- When Filing Chapter 7 Bankruptcy Makes Sense
