St. Louis Bankruptcy Lawyer: Discharge Denials
One important thing to be aware of if you’re struggling with debts is that if you incur debt after you first plan to file bankruptcy, that debt may not be dischargeable if you later file bankruptcy. Bankruptcy was designed to give financial relief to those who incurred debt which they had planned to repay but due to illness, job layoffs, work hour reductions, other pay cuts, debt escalation due to accrued interest and other factors are no longer able to repay creditors on time.
Someone thinking about filing Chapter 7 bankruptcy or Chapter 13 bankruptcy should not borrow money or use credit cards once they have made the decision to file bankruptcy unless it is a secured loan such as a car loan or a mortgage loan which the person plans to repay. If you incur debt shortly before you file your Chapter 7 bankruptcy or Chapter 13 bankruptcy case, particularly if the balance is several thousands of dollars of debt, the creditor may file a proceeding to deny discharge of that specific debt.
An issue can exist if a creditor pursues denial of discharge of the debt . Success depends on when the person first consulted with a bankruptcy attorney or bankruptcy lawyer about filing bankruptcy.
Once a person decides to file bankruptcy he or she should stop using credit cards and not otherwise incur debt unless it is a car loan or mortgage loan which the person plans to repay and will be able to repay.
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