Find the best financial services for you at: SMARTFINANCESOLUTIONS.NET - If someone file for bankruptcy, does that mean their debt been paid off? - Their debt paid off by whom??
The debtor doesn't need to pay for the debt anymore, but it doesn't mean the debt is automatically paid off because if the debtor doesn't pay, who else would pay on behalf of the debtor?
However, all of the debtor's assets are measured and evaluated, and then the assets are used to repay a portion of outstanding debt. Upon the successful completion of bankruptcy proceedings, the debtor is relieved of the debt obligations. well in fact, the debt is partially paid for by selling everything the debtor owns. He will be left with basically nothing after the bankruptcy process is done. -
