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What Debts are not discharged in an Illinois bankruptcy?

Debts that are allowed to be discharged are determined by federal bankruptcy laws. In the state of Illinois, the following debts are not discharged by filing Chapter 7 Bankruptcy or Chapter 13 Bankruptcy.

  • Federal, state and local taxes. May be subject to specific time rules.
  • Spousal Support/Alimony
  • Child Support Payments
  • Most Student Loans
  • Mortgage Liens
  • Certain types of purchases for luxury items within 90 days of filing
  • Secure Debt
  • Penalties and fines by government agencies
  • Fraud committed in a fiduciary role including larceny and embezzlement
  • Punitive damages assessed for “willful and malicious acts”
  • Debts not outlined on the schedule and forms filed with the Bankruptcy Court
  • Drunk Driving fines
  • Certain cash advances or purchases for luxury items with in a certain time frame.

If you fail to pay these debts, your creditors have the legal authority to continue their collection efforts.

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