Many people would say they have known better economic times in life that what they are experiencing now. In fact, this is a common sentiment of late in Mississippi and elsewhere. Bankruptcy can be used a valuable financial tool to help alleviate a crisis and lay the groundwork for a more stable financial future.
However, there are several key factors to keep in mind when considering filing for bankruptcy. Each program has its own eligibility requirements, for instance. It should also be noted that bankruptcy does not necessarily discharge all of a person’s debt.
Be aware of these non-dischargeable debts in bankruptcy
A person filing for bankruptcy might have good reason to choose one program over another, such as Chapter 13 over Chapter 7. There some debts that are not going to be discharged through bankruptcy, no matter which program is implemented:
- Court-ordered compensation that resulted from a personal injury claim following a car accident or other incident.
- Child support or alimony payments.
- Any specific debt that the applicant omitted from the list when submitting a bankruptcy petition.
Knowing these things ahead of time may help a person who is struggling financially to determine if filing for bankruptcy is a viable debt relief option.
There are additional debts that not dischargeable as well
Careful research is imperative when filing for bankruptcy, especially because there may be some debts that a person is unable to discharge. It is helpful to ask a Mississippi bankruptcy law attorney to review one’s case and make specific recommendations. A lawyer can help determine which program best fits a client’s needs, as well as provide support at all stages of any bankruptcy proceedings.
