As part of your bankruptcy, you can cancel any contracts or leases that you have signed. So, if you have a current cell phone bill with T-Mobile, Verizon, Sprint, AT&T, or whichever other company ropes you into a long term deal, you can list the contract in your bk and wipe it out.
Now let’s say you owe T-Mobile $1,500. You can list that and wipe it out in your bankruptcy. But, if you keep using the phone after we file, you will be liable for any new charges up until the time you turn it off. So if you use it for another month after filing bk, then you will owe T-Mobile for that one month of service because your new bill occurred from activity after you filed bk.
You can also sign up with a new carrier before you go bankrupt, go bankruptcy on the old plan, and keep the new agreement.
The attached screen-capture is my best attempt at showing the concept of “cell phones,” and I just love the exchange between me and my 17 year old son who wanted to skip out of school early.