Chapter 13 Bankruptcy and Child Support
If you are behind on child support payments those payments are not eligible
to be wiped out in bankruptcy. Child support payments are considered priority
debts that a debtor will continue to be responsible for even after their
case ends. But,
Chapter 13 bankruptcy may help you get caught up on payments. If you have unsecured debts with
you case, they may be eligible for discharge to improve your ability to
make ongoing support payments.
According to regulations set by Congress, a debtor cannot eliminate, wipe
out or discharge debt related to child support due to its importance.
Your Chapter 13 plan may include helping you pay off outstanding arrears
or missed support payments. The filing can help organize your debts to
allow you to makeup missed payments. In many cases, the plan may reduce
what you would have paid to unsecured creditors (credit cards,
medical bills, personal loans, etc.).
It is likely you may qualify to have more or most of your unsecured debt
discharged due to payments being made toward support obligations. If you
are facing legal collection action such as a lawsuit, the
automatic stay may give you protection during your Chapter 13 case. As long you continue
to make support payments according your court-approved plan, collection
attempts from creditors should not be a problem.
Discuss your situation with an experienced Dallas bankruptcy lawyer. Keep
in mind you need to make payments each month promptly and be current in
order for you to get unsecured debts discharged. If changes occur during
your case with your income, report them immediately to your legal representative.