Liquidating trustee

The key word is student loans (thus, a review of your situation to determine if your student loans or taxes can be discharged is important.) The ability to discharge such debts as taxes and student loans depends upon the age of the loan and numerous other factors.

Thus, a complete review of each client’s debts must be made to determine what debts, if any, will remain after discharge.

In most cases, the plan payment will be less than the combined payments of the debts prior to filing, and the debtor can retain all of his assets provided he makes the payments as required and maintains insurance on items, such as his home and car which are security for loans being paid through or outside of the plan.

To qualify as a debtor under chapter 13 of the Bankruptcy Code, the Debtor must be an individual or a husband and wife, filing jointly.

If an individual or husband and wife filing jointly, debts exceed either of these limits, then the only option to reorganize is under chapter 11.

A chapter 7 debtor is seeking a discharge of his obligations to pay his debts.

However, bankruptcy does not discharge or wipe out most taxes, most school loans, child support or alimony (called domestic support obligations in the bankruptcy code) and some other debts.

Finally, if an individual or a husband a wife that are filing jointly have debt that exceeds certain limits, then chapter 13 reorganization is not an option.

These limits change every three years in April base upon the change in the cost of living since the last change.