Under current law, student loans are not dischargeable in bankruptcy in the same manner as other unsecured debts. According to statute, you must prove that repayment of the loan will cause you and your dependents undue hardship. There is no precise statutory definition of undue hardship and it is a difficult hurdle to get past.
NY Bankruptcy and Tax Blog, Information, and Resources
Even if you have a significant amount of ‘consumer debt,’ as long as your ‘tax debt’ is more than your consumer debt, you may be able to avoid taking the means test, no matter what your monthly income. You may also still be able to file Chapter 7 bankruptcy despite earning more than the allowed
The purpose of filing for bankruptcy is to enable a person who has through bad luck, such as medical bills that outran health insurance, bad decisions, such as unsound investments or through a crime, such as fraud to have their debt forgiven so they can get a new start in their financial life. People with
Unless you are uber-rich, you may only be an illness away from bankruptcy. As early as 2009, CNN reported that 62 percent of all United States personal bankruptcies could be traced to medical bills. Even more shocking, many of those forced into bankruptcy by medical bills are middle class people with health insurance. What is going on?
Every year more women file for bankruptcy than men do. On average, these women are Caucasian, married, and middle-aged. While these women are employed, their annual salary is less than $40,000. The majority of these women do have a high school education, are paying on college loans and have overextended their credit. The highest numbers