Can all of my debts be eliminated by a bankruptcy?
Jan Meriss Alfonso Assistant at Ascent Law LLC Bankruptcy can eliminate some of your debts, but not all of them. Some types of debts aren't dischargeable, such as fraud-related debts. However, if you file for Chapter 13 bankruptcy, you'll get additional flexibility in dealing with your secured creditors. Unsecured debt isn't a debt, you must repay under bankruptcy Unsecured debt is debt that you owe but do not have collateral to repay. This type of debt usually includes credit card debt and personal loans. Secured debt, on the other hand, is backed by an asset such as your home or car. This means that if you fail to make the payments on your unsecured debt, the lender cannot repossess or foreclose on your property to recover the debt. Because unsecured debt has no collateral, it cannot be repossessed. However, lenders are not barred from pursuing collection efforts and may file lawsuits to collect the debt. These actions could include garnishment or attachment of your pro...