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Posted by: Maricopa Lawyers on Nov 25, 2016

If you’re swimming in debt, you may be considering filing for bankruptcy. Further, if one of your major sources of debt is child support, you may be thinking about bankruptcy as a way to get out from under that debt. However, we do have some bad news in this case: your child support is exempt from bankruptcy stops.

Child Support as Priority Debt

Child support is known as a “priority debt.” This means that your child support debt is more important than other debt you may have. This also means that your child support is to be paid off before any other debt you still have to pay after bankruptcy.

If your property or assets are liquidated after filing bankruptcy, the value extracted from the liquidation will go to pay off your child support, and you’ll be responsible for paying off the remainder after. Let’s say you file bankruptcy to get out from under a $5,000 car payment debt. Your property acquired after filing bankruptcy will most likely be liquidated. Let’s say the value from that is $1500. That $1500 will be put towards your $4000 child support debt, and you’ll be responsible for paying off the other $2500. Along with that remainder of $2500, you’ll be lawfully required to pay off any future child support payments as well.

As you may know, any property or assets that are acquired after your bankruptcy suit are fair game when it comes to creditors. Because of this, child support creditors are able to collect past dues from any assets collected after the bankruptcy.

In short, bankruptcy does not prevent you from paying past due or future child support payments. Consult a lawyer when dealing with bankruptcy issues to make sure your needs are met if possible.