Do you have social security debt? If so, are you wondering about how to get rid of that debt? If you have received a letter from the Social Security Administration (SSA) for collection of an overpayment, you be unsure what to do next. Is this debt dischargeable in bankruptcy?
Social Security Debt in Bankruptcy
The good news is that most SSA overpayments are considered dischargeable. Basically, any unsecured debts that you have accumulated prior to filing bankruptcy will be discharged at the end of your case. However, this is not the case if any of your debts are deemed nondischargeable. Your Social Security overpayment will fall into this category, as will things like unemployment and welfare (or any other public benefit).
However, this does not mean that the SSA will not fight to have this debt classified as nondischargeable. They may argue that you have misrepresented your situation or used fraud. So, if this is the case, the likelihood of the SSA challenging the dischargeability increases dramatically. For this reason, we recommend that you have a trusted bankruptcy attorney at your side.
What Can You Do?
An attorney will be able to help you navigate through any pushback from the Social Security Administration (SSA) may give you. The SSA will need to prove that the overpayment is nondischargeable to the court by filing a claim. So, you will need to speak with your attorney about the circumstances tied to your overpayment. There are instances where this can be discharged through a Chapter 7 Bankruptcy.
Need More Information?
At the Law Office of Daniela Romero, we believe in relationships that are based on trust. Before we work together, we would like you to get to know us. This will allow you to be completely comfortable sharing intimate and difficult details of your case, so we can offer you representation to the fullest extent of the law. Call us today to set up a free consultation.