Every so often, I find, it helps to go back to the basics. Even readers who are not new to these Bankruptcy in Indiana articles tell me they appreciate the review. This week’s entries are a continuation of the May series from the glossary of terms on the uscourts.gov website.
As a debt consolidation lawyer offering Indiana bankruptcy help, I know that the process of filing individual bankruptcy starts by drawing a line down the middle of a yellow pad. That’s because, when debtors arrive at one of the Zuckerberg bankruptcy law offices, they’ve come because they have debts and not enough money to pay their creditors.
Before advising visitors whether it makes sense for them to file personal bankruptcy in Indiana, we go over each debt they owe, and to whom. Each item goes in either the “D” column (for dischargeable) or the “ND” column (for nondischargeable).
Under the new bankruptcy laws of our state, some debts are eligible for discharge, which the government website defines as “the release of a debtor from personal liability for certain debts.” A discharge also, the website adds, “prevents the creditors owed those debts from taking any action against the debtor to collect.”
In short, as every good bankruptcy attorney in Indiana can tell you, some debts simply can’t be eliminated through bankruptcy. Debts that would be listed in the “ND” column include:
- Alimony and child support
- Taxes from the most recent few years
- Debts caused by driving while intoxicated
- Criminal fines
Now, don’t get me wrong. As I’m always assuring my readers and clients, bankruptcy CAN help stop foreclosure on a mortgage, and it CAN help with secured debt such as auto loans, just in a different, more indirect way.
In any event, the first step in providing Indiana bankruptcy services is always that yellow pad list, taking inventory of all the debts and putting each in either the D or the ND column. Once that yellow-pad list is complete, we can go on to formulate a plan of action.
Categorised in: Bankruptcy Indiana
This post was written by Mark Zuckerberg