People file bankruptcy to discharge unsecured debts. Bankruptcy discharge eliminates personal liability to pay back debts. Some debts are not discharged in bankruptcy. The discharge does not eliminate liens on property. For example, a lien on a vehicle title is not removed by the bankruptcy discharge.
Bankruptcy protects people’s assets from creditors. It blocks garnishments of wages and bank accounts. Bankruptcy prevents creditors from recording judgment liens against real estate. If a creditor files a judgment lien, bankruptcy can often get rid of it.