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What Debts Can Be Discharged in Chapter 7 Bankruptcy?

September 28, 2025

| Chapter 7

The short answer is that Chapter 7 can erase most unsecured debts, such as credit card bills, medical expenses, and personal loans. However, it does not wipe out everything. Child support, most taxes, and student loans usually don’t get discharged in a Chapter 7 bankruptcy, among other specific debts.

Our Harrisburg Chapter 7 bankruptcy lawyers at Cunningham, Chernicoff & Warshawsky, P.C. can sort through your debts, explain which qualify for discharge, and protect you from costly mistakes.

Debts You Can and Can’t Discharge in Your Harrisburg Chapter 7 Bankruptcy Case

When a debt is discharged, you are no longer legally obligated to pay it. Creditors must stop collection attempts, wage garnishments, and lawsuits. In Pennsylvania, the most common dischargeable debts in Chapter 7 include:

These debts are unsecured, meaning they aren’t tied to collateral like a house or car. Once discharged, they disappear permanently, giving you breathing room to start again. However, not all debts qualify for a discharge.

Federal bankruptcy law excludes child support, alimony, most tax obligations, government fines, and most student loans. In rare cases, you may prove undue hardship and have student loans discharged, but courts set a very high bar. If you pledged property for a loan, such as a mortgage or car note, the bankruptcy may wipe out your personal obligation to pay. However, the lender can still repossess the collateral if you fall behind on payments.

You should also know that discharge eligibility isn’t the only factor to consider in a Chapter 7 case. The specific state and federal exemptions you choose ultimately decide what property you may keep. Pennsylvania bankruptcy laws provide modest exemptions but allow you to opt for federal exemptions, which usually protect more home equity and personal property. A seasoned Harrisburg Chapter 7 bankruptcy attorney can compare both sets of exemptions and help you keep the maximum value possible.

How a Harrisburg Chapter 7 Bankruptcy Lawyer Can Strengthen Your Case

Unfortunately, many people try to file without a lawyer because they see forms online and assume it just requires filling in the blanks. The reality is much more complicated. Many underestimate their income, forget to list assets, or misapply exemptions. An error in your application can lead to the dismissal of your case. When this happens, creditors can resume lawsuits and garnishments, making your situation worse than before.

A Harrisburg Chapter 7 bankruptcy attorney will look closely at your debts and tell you which qualify for discharge. They also make sure you don’t accidentally lose property you could have protected under exemptions. In Chapter 7 cases, timing is immensely critical. Your lawyer may recommend waiting to file until certain debts become dischargeable or advise you against big financial moves that can complicate your case.

Likewise, you only get one shot at Chapter 7 discharge every eight years. Filing with mistakes or without a full understanding of your debts risks wasting that chance. By acting quickly and strategically, you protect not just your present, but your financial future. Additionally, if creditors object, claiming that you incurred a debt through fraud or misrepresentation, your lawyer can respond in court.

If you’re overwhelmed by massive debt, Chapter 7 bankruptcy just may be the reset you need. For legal advice on your specific case, reach Cunningham, Chernicoff & Warshawsky, P.C. at 717-260-3527 or online to schedule your complimentary case review with our Harrisburg Chapter 7 bankruptcy lawyers.