Credit Cards

Credit Cards are the vast majority of debt that is discharged under Chapter 7 bankruptcy. Unless the creditor claims that the purchase is secured by collateral, or creditor claims fraud or misrepresentation.


Medical Bills

The bankruptcy code allows for your medical bills to be discharged at the end of your Chapter 7 Bankruptcy Case.


Lawsuits and Judgments

Many civil suits end with a money judgment against the loosing party. These judgments are usually dischargeable in bankruptcy. There are exceptions to the rule. For example, if the act was willful and malicious meaning you intended to inflict a specific injury to a person or property the debt is not dischargeable.


Car Accident Debts

Most car accident debts are dischargeable. However, there are exceptions for example if the accident was the result of a willful or malicious act or was a drunk driving accident.


Obligations Under Leases and Contracts

These debts are obligations under a contract such as a contract to buy products or a contract to perform an obligation (painting a house). If you do not perform your end of the bargain the other party may sue you for breach of the contract and receive damages. Under the bankruptcy code these obligations are usually dischargeable. However, if the lease or contract will produce money to pay your creditors the trustee may not discharge the contract.


Personal Loans

These are loans you receive in exchange for a promissory note. These debts are dischargeable unless the creditor can prove some instance of fraud.


Debts that May be Dischageable

The debts listed below are not usually dischargeable but can be if met with certain requirements: Student Loans: usually not dischargeable unless the debtor can show an undue hardship Regular Income Taxes: usually not dischargeable unless the debt is old enough and meets certain requirements.