Q Can Bankruptcy Help with Child Support Debt?
Bankruptcy can help you erase many debts, but it can't relieve you of alimony and child support payments. All chapters of bankruptcy require you to continue to pay alimony and child support and all other court-ordered payments in full and on time.
Furthermore, debts owed to a former spouse, such as a portion of the sale of a shared asset, are also not immune to bankruptcy.
What bankruptcy can do, however, is give you an opportunity to get back on your feet and gain control of your debt. If you're dodging calls from creditors and swimming in debt, filing for bankruptcy can give you the opportunity to restructure your debt and prioritize payments. That can free you up for those alimony and child support payments, among other things.
Depending on your income, you may be eligible for Chapter 7 bankruptcy, which can help wipe out debts such as credit card balances, medical bills, personal loans, legal gambling debts, mortgages and car payments. If you have a steady income, you may want to consider filing for Chapter 13 bankruptcy, which can help you to keep your assets and pay back some of your debt over three to five years.
Failure to pay child support will put you at risk of being in contempt of court and subject to wage garnishment and even arrest, in certain states. Your assets may also be seized and your driver’s license may be revoked depending on your state’s laws.
Castle Law Office has been handling bankruptcies for Kansas City clients from more than 14 years. If you need the fresh start bankruptcy can provide, call us today at 816-842-6200 to speak with an attorney. Or click here to email us and schedule your free consultation.