Discharge Question

[skinny27]

What is the name of your state?MN

I will be filling Ch 7 in a couple weeks. I have almost 50K in unsecured debt. Is Ch 7 an all or nothing thing, or is it possible for only part of the 50K to get discharge for example, 40K gets discharged and the other 10K I am responsible for. Also, if an individual credit card is at 11K, could only 8K get discharged, and the 3K I am responsible for. Just wondering. Thanks.

 

[Who's Liable?]

BK 7 is EVERYTHING that is legally dischargeable... Basically EVERYTHING but student loans.

In your case, if ou had 50K in CC debt, than ALL 50K would be wiped out, and it would be illegal for the CC companies to continue to collect after your discharge... It's even illegal for them to contact you once you have filed for BK 7...

You're thinking of BK13 where you are set up on a payment plan for a certain amount of time.... Typically people are rolled into the BK7 unless they have a high income or some other factors...

 

[Ladynred]

In general, all your unsecured debts would be discharged. IF a creditor objects to all or part of your debt to them, there would be a hearing to determine dischargability. If the judge decides in the creditor's favor, then you would have to pay that portion of the debt the creditor objected over.

Generally they don't object, but if you charged up your cards before filing, or took recent cash advances, the creditors could object. The 'safe' window is 90 days.. no charges or cash advances in the 90 days before you file. Cash advances, however, can be looked at for up to a year.