Dischargeable debts are debts that you owe which the Bankruptcy Code allows to be wiped out or erased. When you file for bankruptcy, you are immediately granted bankruptcy protection even if your debts are not eliminated yet. Filing in Oregon gives you protection from:
- Harassment from your creditors or debt collectors
- Collection agencies
- Stop Foreclosure of your house or home
- Repossession of your car and other personal properties
- Wage garnishment
- Termination of utility services or restoration if such services are already terminated.
What are Debts that are Dischargeable in Oregon?
Some debts are subject to a bankruptcy discharge, which means that these can be wiped out. These are:
- Attorney fees
- Business debt
- Charge accounts that revolve (exemptions are extended payment charges)
- Claims for vehicular accidents
- Court judgments (for civil cases)
- Collection agency accounts
- Consumer-credit
- Credit card debt
- Debts you owe for lease such as rent dues
- Deficiency balance for repossession
- Dishonored checks (if not done in fraud)
- Medical bills
- Overpayments and assistance loans for veterans
- Overpayments for Social Security
- Personal loans or liabilities
- Student loans relief if you experienced undue hardship
- Tax penalties and other unpaid taxes
- Unsecured debts
- Utility bills
What Debts are Non-Dischargeable in Oregon?
While there are certain kinds of debts that can be eliminated, there are different types of debts that are considered non-dischargeable such as:
- Child and spousal support
- Alimony
- Tax debts that are fraudulent
- Student loans
For debts that were acquired intentionally or through fraud, even if it is generally considered as dischargeable, due to the element of fraud or willful acts, such dischargeable debt would become non-dischargeable.
When Do I Need to File for my Debts to be Discharged?
In Oregon, timing is important when filing so that what you owe will be wiped. In case you filed for bankruptcy, all the debts included in such paperwork can be discharged upon the approval of bankruptcy court. However, if you did not include certain dischargeable debts in your petition, they will not be removed. Also, if you incurred debts after your bankruptcy petition, they will not be subject to discharge, and you will need to pay off what you owe your lender.
Can you Discharge Secured Debts?
Yes. Secured debt can be discharged in Oregon but the property used as security will go to your creditor. The reason being it is the creditors’ right to obtain ownership of your property until you can pay back what you owed. Furthermore, secured debts are debts where the debtor gives security or collateral for the loan acquired. The most common types of secured debts are mortgages and auto loans in which the item being financed becomes the collateral for the financing. Unsecured debts on the other hand are those that you can usually discharge for they do not have collateral or security.
How to File Bankruptcy in Oregon?
While filing for bankruptcy does not require one to have a bankruptcy attorney, working with a bankruptcy lawyer will greatly help you because bankruptcy law can be very complex. Small mistakes can lead to your petition for bankruptcy being denied, wasting all the time, money, and effort you put in. Here at Northwest Debt Relief Law Firm, our competent bankruptcy attorneys will walk alongside you in your journey to debt relief and a fresh start. Our Oregon bankruptcy lawyers will help you not just before a bankruptcy filing, but also after the discharge. Our lawyers can provide reliable legal advice on matters such as how to rebuild credit, buying a house after bankruptcy, and more. Call us now for a free legal consultation.
