Can Bankruptcy Eliminate All of My Debts?

Bankruptcy cannot eliminate every type of debt. Some kinds of debts can never be discharged. Others which might normally be dischargeable, may not be discharged under certain circumstances. If you have questions about what bankruptcy can do to eliminate your debts — we encourage you to call or contact us to schedule a free consultation with our lawyer.

Debts that are not generally dischargeable in a bankruptcy include:

  • Recent tax debts: Any tax debts incurred within the last three years cannot be discharged. Only income tax debts from more than three years ago can be.
  • Student loans: Only in rare circumstances can student loans be discharged through the bankruptcy process.
  • Marital debts, including child support and alimony: Marriage and divorce-related debt obligations related to support or property settlement agreements cannot be discharged.
  • Debts incurred through willful or malicious conduct: This includes personal injury judgments related to drunk driving.
  • Recent loans, credit purchases or cash advances: These debts are non-dischargeable if they were incurred in the 60 days prior to filing bankruptcy and total more than $1150.
  • Court-imposed debts: Fines and penalties imposed for violating the law, including traffic citations and restitution for criminal offenses, cannot be discharged.
  • Debts incurred through fraud: Creditors can challenge the legitimacy of discharging debts in bankruptcy by arguing that they were incurred in a “bad faith” manner.
  • Otherwise dischargeable debts that were incurred to pay off non-dischargeable debts prior to the bankruptcy filing (e.g., paying an old tax debt with a credit card) cannot be discharged through bankruptcy.

Free Bankruptcy Consultations ~ (815) 729-9212

At the Law Office of Ronald D. Cummings, we help people in Will County and the surrounding areas of northeast Illinois to get back on the path to financial solvency. We believe the best way to do that is to provide our clients with the answers and information they need to make an informed decision for themselves. For answers to your questions about bankruptcy or how our attorney can help you navigate that process smoothly — call us for help!

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.