Does Chapter 7 wipe out all debt?
Does Chapter 7 wipe out all debt? Assistant at Ascent Law LLC Assistant at Ascent Law LLC Whether you are planning to file for bankruptcy, or you are already in debt, it is important to know what debts can be discharged in bankruptcy. It is also important to know what is not discharged. You will not be able to discharge all debts in Chapter 7 bankruptcy. This is because there are limits on which debts can be discharged. There are also exceptions. For instance, certain tax debts are not discharged. Also, some types of loans, like educational loans, are not included. If you file for Chapter 7 bankruptcy, you will have to go through the process of meeting with creditors and demonstrating to them that you have the resources to repay your debt. The process can take up to six months. Then, the bankruptcy court will issue a discharge order. After this, your creditors cannot pursue you anymore. If you have any questions about filing for bankruptcy, you should seek out a reputable legal adviser...