I am 26 years old and I am almost $80,000 in debt, should I file for bankruptcy? 29 Answers as of February 15, 2013

I have $52,138 in student loans, $19,319 in medical bills and $5,065 just in misc. debt. I don’t own anything of value, car, house, etc. I also have 3 kids and bills that total about $1200.00 a month. I make $2808.00 a month. These numbers could be higher, what can I do?

Ask a Local Attorney. 100% Anonymous. Free Answers.

Free Case Evaluation by a Local Lawyer: Click here
Law Office of D.L. Drain, P.A.
Law Office of D.L. Drain, P.A. | Diane L. Drain
Bankruptcy is a very complicated process. It is wise to talk to an experienced bankruptcy attorney before deciding to take this important step.
Answer Applies to: Arizona
Replied: 2/15/2013
Law Office of Susan G. Taylor
Law Office of Susan G. Taylor | Susan G. Taylor
It's a personal decision. But, currently, you cannot discharge student loan debtthe far majority of your debt.
Answer Applies to: Texas
Replied: 2/15/2013
Stephens Gourley & Bywater | David A. Stephens
With the exception of the student loans, you should be able to discharge the other debts. The student loans are harder to discharge and require a special proceeding to do so.
Answer Applies to: Nevada
Replied: 2/14/2013
Law Office of Michael Johnson
Law Office of Michael Johnson | Michael Johnson
Unfortunately the majority of your debt is student loans. These loans are not discharged But the rest can be taken care of.
Answer Applies to: Florida
Replied: 2/13/2013
Kyle L. Mastro - Attorney at Law
Kyle L. Mastro - Attorney at Law | Kyle L. Mastro
As 52k of this is student loans you effectively have about 24k in dischargeable debt as student loans, sadly, cannot be discharged in bankruptcy with only a few very limited exceptions. You seem to be saving a bit too much money every month to do a chapter 7, but people constantly underestimate their expenses. The best thing to do would be to sit down with a NJ bankruptcy attorney, who is use to uncovering expenses you might have overlooked, review your expenses and find out your options.
Answer Applies to: New Jersey
Replied: 2/14/2013
    Debt Relief Law Center | Roger J. Bus
    Chapter 7 may be a good option to pursue, then you would just have your student loan obligations.
    Answer Applies to: Michigan
    Replied: 2/14/2013
    Phyllis Voisenat, Esq.
    Phyllis Voisenat, Esq. | Phyllis Voisenat
    You should set an appointment with an attorney that regularly practices bankruptcy law. Most attorney's do not charge for an initial consultation. The attorney can tell you what types of debt can be dealt with in the different types of bankruptcy. Then you will be better able to determine your options. Good Luck!
    Answer Applies to: California
    Replied: 2/14/2013
    Rhymer Law Firm
    Rhymer Law Firm | William Rhymer
    Based on your information it appears that you may need to file a case. A lot more information would be needed to give you a definite answer and recommendation as to what is best for you.
    Answer Applies to: Georgia
    Replied: 2/13/2013
    Janet A. Lawson Bankruptcy Attorney
    Janet A. Lawson Bankruptcy Attorney | Janet Lawson
    The student loan debt is not dischargeable. At least you can rid of the other bills. Contact the lenders on the student loans and see if can get some kind of hardship relief. The interest on these things will mushroom out of control, (more than they are now).
    Answer Applies to: California
    Replied: 2/13/2013
    Gateway Legal Group | Christian J. Albut
    Based on the information provided, it would seem that you would qualify for a chapter 7 bankruptcy, however we would still want to meet with you take a bigger picture of your debt and income. Bankruptcy is for a person in your situation, that has a lot of debt and wants to start over fresh. Unfortunately, the student loans are non-dischargeable and you will still continue to pay those.
    Answer Applies to: California
    Replied: 2/13/2013
    Hayward, Parker, O'Leary & Pinsky, Esqs.
    Hayward, Parker, O'Leary & Pinsky, Esqs. | Michael O'Leary
    At the income level that you report you appear to be eligible for Chapter 7 relief, but such a filing will not rid you of your student loans. Accordingly, it seems that a bankruptcy discharge would rid you of approx. $24,400.00 of debt, but still leave you with the $52,000.00 (approx.) student loan obligation. If this relief seems acceptable to you, you should contact a competent, local bankruptcy lawyer to further discuss your situation.
    Answer Applies to: New York
    Replied: 2/13/2013
    Law Office of Christian F. Paul
    Law Office of Christian F. Paul | Christian F. Paul
    I suggest you make an appointment to consult with a local bankruptcy attorney. Many offer a free consultation. Be sure to take with you documents to show your income (last tax return, last couple of pay stubs, etc.), a list of monthly expenses, a recent credit report and other proof of debts, latest bank statements, as well as title documents to vehicles and real property (if any). The attorney will be able to assess your situation and advise whether bankruptcy is a good choice for you.
    Answer Applies to: California
    Replied: 2/13/2013
    The Law Office of Darren Aronow, PC
    The Law Office of Darren Aronow, PC | Darren Aronow
    It sounds like you qualify, but the student loan debt will not be discharged.
    Answer Applies to: New York
    Replied: 2/13/2013
    Troutman & Napier
    Troutman & Napier | Gregory A. Napier
    You need to get a consultation with an attorney to go through all the ramifications. The question is not how much debt, but how much income there is. The student loan debt is unlikely to be discharged in a bankruptcy, so that takes special attention by a bankruptcy attorney to see how to best handle them.
    Answer Applies to: Kentucky
    Replied: 2/13/2013
    Bordeaux Law, P.C.
    Bordeaux Law, P.C. | Clifford Bordeaux
    I think a chapter 7 bankruptcy would likely be a reasonable option based on that information.
    Answer Applies to: California
    Replied: 2/13/2013
    Guardian Law Group PLLC
    Guardian Law Group PLLC | C. David Hester
    Your student loans cannot be discharged, so you are looking at just the medical and misc. debts. You should speak with an attorney to determine if its right for you. You can contact my office to make an appointment for a free consultation.
    Answer Applies to: Utah
    Replied: 2/13/2013
    Diefer Law Group, P.C.
    Diefer Law Group, P.C. | Abel Fernandez
    I think you need to consult with an attorney to see if bankruptcy is best for you. Student loans are usually non dischargeable in a bankruptcy (it is very hard to get this debt discharged). That is the majority of your debt so it would be wise to seek legal advice before you file.
    Answer Applies to: California
    Replied: 2/13/2013
    Law Office of Norman Moore
    Law Office of Norman Moore | Norman P Moore Jr
    Well, that is a tuffie. First of all, your chances of discharging your student loan debt is really quite low. Chances are you will come out of bankruptcy still owing that $52k. The medical bills and other debt would be gone. Then you might be able to afford to come out of delinquincy and get a payment plan for the student loans based on your income. As always, deciding what is the best thing to do is up to you.
    Answer Applies to: Wisconsin
    Replied: 2/13/2013
    The Schreiber Law Firm
    The Schreiber Law Firm | Jeffrey D. Schreiber
    There are many considerations whether to file a bankruptcy beyond just the amount of debt you have. The student loan debt is not dischargeable in bankruptcy, so you would not get rid of that in all events. You should consult with a bankruptcy attorney to go through your options and whether, in the whole, bankruptcy or something else is your best option.
    Answer Applies to: California
    Replied: 2/12/2013
    Law Office of Sean P Fleming
    Law Office of Sean P Fleming | Sean P Fleming
    If you qualify, you should probably consider filing Chapter 7 bankruptcy and eliminate the unsecured dischargeable debt.
    Answer Applies to: Illinois
    Replied: 2/12/2013
    A Fresh Start
    A Fresh Start | Dorothy G Bunce
    There is no hard and fast rules about who should file bankruptcy and the more important question I would need to ask you is whether the medical problems that led to the large medical debt have been resolved or may continue. If you have ongoing medical problems, it would be a shame to use up your right to eliminate debts in bankruptcy only to find yourself back in as much or even more debt shortly afterwards. You probably know that unless you are so disabled that you will never work again that you won't be eligible to eliminate your student loan debt. What you should do is consult with a kind and compassionate local bankruptcy attorney for individual advice.
    Answer Applies to: Nevada
    Replied: 2/12/2013
    The Smalley Law Firm, LLC | Cary Smalley
    I suggest you consult with a bankruptcy attorney to discuss if bankruptcy is the best option for you.
    Answer Applies to: Kansas
    Replied: 2/12/2013
    Law Office of Stuart M. Nachbar, P.C.
    Law Office of Stuart M. Nachbar, P.C. | Stuart M. Nachbar
    Student loans if state or federal are not dischargeable, rest is, so bankruptcy is option.
    Answer Applies to: New Jersey
    Replied: 2/12/2013
    Law offices of John P. Brooke | John Brooke
    It sounds like you would most likely qualify for a chapter 7 bankruptcy which would eliminate your unsecured debt such as credit cards and medical bills. Chapter 7 discharges your personal obligation and you do not pay any of the debt back. Your student loans cannot be discharged in a ch. 7 bankruptcy unless you bring a special proceeding to show paying them back would be an undue hardship. This is very hard to prove unless you basically have no ability to work or pay them back in your lifetime.
    Answer Applies to: New York
    Replied: 2/12/2013
    Danville Law Group | Scott Jordan
    You should consult with a local bankruptcy attorney to discuss your options. Many provide a free 30 minute consultation. Once you know the facts, you will be able to make a fully informed decision.
    Answer Applies to: California
    Replied: 2/12/2013
    Ferguson & Ferguson
    Ferguson & Ferguson | Randy W. Ferguson
    Chapter 7 bankruptcy may be your best option. You should talk to an attorney. Most give free consultations.
    Answer Applies to: Alabama
    Replied: 2/12/2013
    Musilli Brennan Associates PLLC
    Musilli Brennan Associates PLLC | John F Brennan
    See a bankruptcy attorney, the issue is going to be the student loans which are generally NOT dischargeable.
    Answer Applies to: Michigan
    Replied: 2/12/2013
    Reger Rizzo & Darnall LLP | Kathleen DeLacy
    The student loan is not dischargeable but the other debts are, but you need to qualify for a Chapter 7 with the means test.
    Answer Applies to: Delaware
    Replied: 2/12/2013
    Moore Taylor & Thomas PA
    Moore Taylor & Thomas PA | Jane Downey
    Filing bankruptcy isn't going to do much for the student loans, particularly if you got benefit out of the education. With 3 kids at only 26 years old, I can understand the other debt. You can defer payment of the student loans by filing a 13 but interest will continue. Have you looked into any forbearance programs? You can file 7 or 13 to rid the other debt if it is too much.
    Answer Applies to: South Carolina
    Replied: 2/12/2013
Click to View More Answers:
12 3 4 5 Free Legal QuestionsConnect with a local attorney