Did you know that certain debts not dischargeable in a Chapter 7 bankruptcy may be dischargeable in a Chapter 13 bankruptcy?
For example, the following debts may be dischargeable in a Chapter 13 bankruptcy (but not in a Chapter 7 bankruptcy):
a. Certain secured debts where the amount owed the creditor is less than the value of the secured collateral.
b. Certain debts arising from of a divorce or separation property settlement.
c. Willful and malicious property damages.
d. Government fines, penalties and forfeitures.
e. Debt incurred to pay nondischargeable taxes.
If you should have questions regarding how a Chapter 13 Bankruptcy can be used to your advantage versus a Chapter 7 Bankruptcy, please ask us how.
This insight into the law is provided by Michael S. Bailey, Esq. of the law firm of Bailey & Gunderson Co., L.P.A., with offices in Norwood, Western Hills and Anderson Township. Phone: (513) 631-0022.
