What debts can bankruptcy cancel?

What debts can bankruptcy cancel?

Janet Bodnar (Deputy Editor, Kiplinger’s Personal Finance) gives expert video advice on: Who is eligible to file for personal bankruptcy?; How do I file for bankruptcy?; How long will filing for bankruptcy impact my credit rating? and more...

Bankruptcy can cancel debts that are unsecured by any other property. So, for example, if your mortgage is secured by your home, that can't be discharged in a bankruptcy. Even a car loan is secured by the car so that can't be discharged. But anything that is an unsecured debt can be discharged in a bankruptcy. Also, there are certain debts that people should know can't be discharged in any case, student loans being one of them. You cannot discharge student loans. If you owe Uncle Sam taxes, those can't be discharged and if you owe alimony and child support, those can't be discharged. But, other than that, any debt that's unsecured can be eliminated in a bankruptcy.