North Carolina Non-Dischargeable Debts
The following debts cannot be discharged in either Chapter 7 or Chapter
13 North Carolina bankruptcies. If you file for Chapter 7, you will still be responsible for repaying
these debts after your discharge. If you file for Chapter 13, these debts
will have to be paid in full in your plan. If they are not, the balance
will remain at the end of your case. Remember that you will also have
to continue to pay secured debts (such as a house or car payment) if you
to intend to keep the secured property. [see statute
- Back child support, alimony obligations and other debts dedicated
to family support.
- Debts for personal injury or death caused by driving while intoxicated.
- Student loans, unless it would be an undue hardship for you to repay.
- Fines and penalties for violating the law, including traffic tickets
and criminal restitution.
- Recent income tax debts (within 3 years) and all other tax debts.
- Debts you forget to list in your bankruptcy papers, unless the creditor
learns of your bankruptcy case.
The following debts may be declared non-dischargeable by a bankruptcy
judge in Chapter 7 if the creditor challenges your request to discharge
- Debts you incurred on the basis of fraud.
- Credit purchases of $1,150 or more for luxury goods or services made
within 60 days of filing.
- Loans or cash advances of $1,150 or more taken within 60 days of filing.
- Debts from willful or malicious injury to another person or another
- Debts from embezzlement, larceny or breach of trust.
- Debts you owe under a divorce decree or settlement unless after bankruptcy
you would still not be able to afford to pay them or the benefit you'd
receive by the discharge outweighs any detriment to your ex-spouse (who
would have to pay them if you discharge them in bankruptcy).