Before even considering bankruptcy, you should know whether the majority is even dischargeable. If you have the assistance of an attorney, he or she will be able to let you know. It is fairly common though for debtors to try to file their bankruptcies themselves. It would be a waste to find out that the biggest debt you were hoping to gain relief from is not dischargeable. Here is a short overview of debts that you will not be discharged in a bankruptcy.
Student Loans: Unfortunately, many people have huge student loans that cause the bulk of financial difficulty. Student loans can only be discharged in bankruptcy if it is proven that paying them back would cause the debtor or the debtor’s family undue hardship. Debtors also need to prove that the circumstances of the hardship will not improve, which may be difficult.
Taxes: If you have tax problems that need to be repaid, you won’t be able to depend on bankruptcy to assist you. Most state, federal and local taxes are non dischargeable debts that have become due within the past 3 years will need to be paid.
Alimony, Child Support and Support Payments: If you owe anyone any of these forms of support you will still be responsible for the debt.
Criminal Fees or Restitution: If you have fees or restitution that is owed because of a criminal matter, these debs are non-dischargeable.
Debt from Fraud or Illegal Activity: If the court finds that you owe debts for any activity deemed fraudulent or illegal, they will not be discharged in bankruptcy.
There are certain circumstances where in rare cases non-dischargeable debt can be included in the bankruptcy. Most of the time the debtor will need to file a Complaint to Determine Dischargeability and show that the debt isn’t covered by the general rules of non-dischargeability. Make sure if you are considering bankruptcy that you are aware of which debts will be discharged and which ones will not.