If you have amassed multiple parking or traffic tickets that you are unable to pay because you need to file for bankruptcy, there is a solution. When you file for bankruptcy under Chapter 7 Bankruptcy law, there may be certain debts and fines that cannot be eliminated; however, it is best to check with your bankruptcy lawyer. It is important to realize that if you cannot eliminate certain debt under Chapter 7 law, you may be able to do so if you qualify for, and file for Chapter 13 Bankruptcy.
Chapter 13 Repayment
When you have decided to file for bankruptcy in Hawaii, Chapter 13 can help you to eliminate some or even all non-criminal debt that you owe the US government. Some of the fines that can be eliminated, or put into an easy-to-manage payment plan, include traffic offenses for speeding, parking or other driving violations.
The Chapter 13 Bankruptcy option can help you to restructure your debt and put a halt to creditor collection (both private and government). This bankruptcy plan can help you to eliminate the fines or pay only what you can afford, within reason.
When you develop a repayment plan, which can last anywhere from three to five years, the debt may fall into a different category. If eligible, your debt may be discharged or completely eliminated. It will need to be reviewed at this point to evaluate whether or not it meets the government elimination requirements.
In some cases, based on the parameters of your repayment plan under Chapter 13 Bankruptcy law, your debts may be classified as a reimbursement if the debts are owed to the government. This only happens when you are applying in order to recover losses related to the specific offenses or services.
The Short Answer
The simplest answer is that your overdue traffic fines can be eliminated or reduced and incorporated into a repayment plan. These repayment plans typically last anywhere from 3-5 years, after which the balance is evaluated for elimination or discharge.