Debts That Cannot Be Eliminated in Chapter 7 Bankruptcy

While Chapter 7 bankruptcy, known as the “fresh start” bankruptcy, can eliminate many types of debt, there are certain debts that are not discharged. These include student loans (unless hardship is proven), recent tax obligations, parking tickets, child support and alimony, criminal restitution, and debts incurred by fraud. However, debts like credit card bills, medical expenses, personal loans, and deficiencies from auto repossession are typically discharged in Chapter 7, offering significant relief to those struggling with financial hardship.