Notice To Individual Debtor With Primarily Consumer Debts

Debt discharge is the cancellation of a debt due to bankruptcy. When a debt is discharged, the debtor is no longer liable for the debt and the lender is no longer allowed to make attempts to collect the debt.

Medical bills. Surprisingly, necessary medical expenses are often classified as non-consumer debts and therefore qualify as business debts.

When you're discharged from bankruptcy, you're freed from any debts that were included in your bankruptcy. You'll still need to pay any debts bankruptcy doesn't cover or any caused by your fraudulent activity. Check a full list of debts you'll still need to pay after discharge.

Consumer debt consists of personal debts that are owed as a result of purchasing goods that are used for individual or household consumption. Credit card debt, student loans, auto loans, mortgages, and payday loans are all examples of consumer debt.

Your mortgage and car loans are secured debts; if you don't repay your lender they are legally able to seize whatever was used as collateral, in most cases this would be your car or house, to cover the debt.

Debt-free living means saving up for things. It means making sacrifices and resisting impulse purchases. It means limiting the amount of money you waste each month. It means planning for the bigger purchases and making sure that you are using your money for the things that matter most to you.

A term of bankruptcy law designating debtors who have debts under a prescribed amount. ".... an individual who is bankrupt or insolvent and whose aggregate debts, excluding any debts secured by the individual's principal residence, are not more than $250,000 or any other prescribed amount."

Debts that you left off your bankruptcy petition, unless the creditor actually knew of your filing; Many types of taxes; Child support or alimony; Fines or penalties owed to government agencies; Student loans; Personal injury debts arising out of a drunk driving accident;

A proof of claim filed by a creditor supersedes a claim filed by the debtor or trustee only if it is timely filed within the 90 days allowed under Rule 3002(c).Under that provision, the debtor or trustee may file proof of a claim if the creditor fails to do so in a timely fashion.