Most people know at least one thing about bankruptcy — that it can help people get rid of their debts and provide them with a “fresh start.” While this is true, bankruptcy is actually an extremely complex process that takes many factors into account. For example, different types of debts are treated differently during bankruptcy proceedings, meaning only certain debts are eligible for discharge.
If you are wondering if you are eligible for bankruptcy, or if you are wondering what debts you might be able to discharge through Chapter 7, speak to an experienced Queens debt relief lawyer today. Attorney Regina Alberty has over 25 years of experience guiding clients through the bankruptcy process and helping them secure real financial relief.
Forest Hills Debt Lawyer for Questions About Secured vs. Unsecured Debt
A common issue Regina Alberty addresses with clients is how bankruptcy deals with secured and unsecured debts. Generally speaking, unsecured debts are typically eligible for discharge at the end of your bankruptcy proceeding. Unsecured debts commonly include:
- Credit card bills
- Medical bills
- Collection agency accounts
- Civil court judgments (unless they involve fraud)
- Past-due utility bills
- Certain personal loans
On the other hand, secured debts are not traditionally eligible for discharge at the end of a bankruptcy proceeding. This is because the debt is backed by collateral that a lender can repossess if you fail to stay current on your payments. Secured debts and other non-dischargeable debts commonly include:
- Mortgages – secured by the property
- Car payments – secured by the vehicle
- Tax liens – typically secured by property
- Student loans – only dischargeable if repayment would cause an “undue hardship”
- Past-due child support or alimony
- Criminal restitution
Share Your Story and Get the Answers You Need
Regina Alberty understands that everyone’s situation is different. She will take the time to fully understand your situation and goals before discussing how they can best be achieved.
Debt negotiation attorney Regina Alberty offers free initial consultations to bankruptcy clients. Divorce clients are offered an initial consultation for a nominal fee of $50. To schedule your consultation, you may call locally at 718-261-7200 or toll free at 866-574-1065. You may also contact the firm online.
La abogada habla español fluentemente.
We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.