How Bankruptcy Affects Child Support Payments

Your children rely on regular child support paymentspay it, you can file for Chapter 7 bankruptcy, and the
for all kinds of necessities: food, clothing, shelter,money made from the sale of your possessions is
medical attention. It's every parent's responsibility toused to pay off that debt. Under the BAPCPA, the
care for his or her child, and child support paymentscontinued support of any children is considered a
are a way of enforcing a non-custodial parent's debtserious priority, and proceeds from the sale go
to his or her children. So what happens when thetowards your court-ordered payment plan first, before
person supposed to make the payments files forcreditors are able to take the money.
bankruptcy? Will it put your children's welfare intoChapter 13 is the other common type of personal
jeopardy? Can your children afford bankruptcy?bankruptcy, and it is a restructuring bankruptcy. In
Fortunately, even during bankruptcy proceedings, aChapter 13, you present the courts with a plan to
parent is still required to make his or her court-orderedrepay your debts over a set number of years with
child support payments. The welfare and care of theregular payments to your creditors. When child support
children is considered a top priority under Americanis involved, the payments are included in the court
law, and these obligations take precedence over thedocuments describing the repayment plan. For the
relief afforded by filing for bankruptcy. The recentChapter 13 bankruptcy filing to be confirmed, there
Bankruptcy Abuse Prevention and Consumermust be clear plan to make regular child support
Protection Act (BAPCPA) helps clarify the rulespayments.
surrounding such payments, and re-emphasizes theWhile the idea of having your former spouse enter into
importance of providing for and caring for one'sbankruptcy may be initially scary, bankruptcy actually
children.allows him or her to make the child support payments
Chapter 7 bankruptcy is a type of liquidationon a more regular basis. Because the other
bankruptcy, in which non-exempt property is sold. Theoutstanding debts are being reduced, there will be
sale of these items is used to pay off one's creditors.more money available for the children.
For example, if you owe $10,000 to the bank and can't