It depends. Certain debts must be paid in full (Must-Pays), but a certain percentage of all other debts (General Unsecured) are covered too.

Must-Pays:

  • Arrears (back Payments) such as your mortgage, homeowner’s association, and car loans
  • Certain kinds of taxes (your bankruptcy attorney will explain which ones)
  • Domestic support obligations (child support/alimony type payments)
  • Government fines (e.g. traffic/parking tickets)
  • Your attorney’s fees
  • The Bankruptcy Trustee’s fees
  • Court fees

General Unsecured:

  • All other debts (e.g. credit cards, personal loans, medical bills, student loans, etc)

Some people may have to pay all their General Unsecured debts through their Chapter 13 plan, others pay a tiny fraction of them. Your level of disposable income or non-exempt assets will determine how much of your general unsecured debts will be paid.