In Bankruptcy, it is Usually Not Possible To:
Eliminate certain rights of “secured” creditors. A “secured” creditor is a creditor who has taken a security interest in property as collateral for the loan. Common examples of secured debts include car loans and home mortgages. In addition, certain retailers (such as American TV, Colder’s, Steinhafel’s, Best Buy, Dell Financial and most jewelry stores) may take a security interest in appliances and/or jewelry you purchased from them (but only if you used that store’s credit card to purchase the items). You can force secured creditors to take payments over time in the bankruptcy process and bankruptcy can eliminate your obligation to pay any additional money if your property is surrendered or taken. Nevertheless, you generally cannot keep the collateral unless you continue to pay the debt.
Discharge debts singled out by bankruptcy law for special treatment, such as child support, obligations related to divorce, student loans, court restitution orders, criminal fines, and most taxes.
Protect cosigners on your debts. When a relative or friend has co-signed a loan, and you discharge the loan in bankruptcy, the cosigner will have to repay the loan.
Discharge debts that arise after your bankruptcy has been filed.
This website does not create an attorney-client relationship. The information on this website does not constitute legal advice. You are urged to obtain the advice of an experienced bankruptcy attorney regarding your personal situation.