One advantage that people have when they choose to file for Chapter 7 is that their unsecured debt is discharged.  This means that debt that they owe to creditors or financial institutions is eliminated and they are given a fresh start.  Unsecured debt is any debt that is a lender loans without having access to property for security.  For example, credit card debt is unsecured whereas a mortgage is considered secured because it is a loan given for property.

When people complete the Chapter 7 bankruptcy process, certain debt will not be discharged, including:

§  spousal support payments/alimony payments

§  child support payments

§  majority of student loans

§  income tax debt/property tax debt

§  restitution that is owed for criminal offenses or personal injuries

Planning to file for Chapter 7 in South Texas?  If so, it is imperative that you understand your financial big picture by taking the time to meet with a South Texas bankruptcy lawyer.  Contact the Malaise Law Firm to set up a consultation today!