What Debts Are Discharged in Chapter 13?
If you agree to voluntarily pay some of your debts under a Chapter 13 plan, you are allowed to discharge even some of the debts that are not dischargeable under Chapter 7 such as payments due under matrimonial property settlements.
Chapter 13 can also be used to discharge recent income tax liabilities, even if the return was not filed or if it was a fraudulent return, so long as some payments are made under the chapter 13 plan. Obligations to pay an Equitable Distribution award in a matrimonial case can be treated as general unsecured creditors in chapter 13, and you will receive a discharge if you comply with a partial payment plan. If you have securities laws violations as a stockbroker, these can be discharged in chapter 13 as well.
But creditors who are not listed are not discharged. Also, a Chapter 13 discharge does not affect outstanding debts or ongoing obligations for spousal and child support; educational loans; drunk driving liabilities; criminal fines and restitution obligations; and certain other long-term obligations that extend beyond the term of the plan, such as home mortgages.
Contact Our Staten Island Attorneys For Chapter 13 Bankruptcy
Our lawyers can explain in greater detail what types of debts you can discharge through a Chapter 13 filing. Contact us online or call 718-691-1669 to schedule an appointment to discuss your situation.