Another cautionary debt story

lion0709
Wed, 22 Oct 2008 17:19:26 +0000

As a Chapter 7 bankruptcy trustee, I can tell you that it is extremely difficult to meet the hardship requirements to discharge a student loan debt. I have seen it happen only a couple times - in one case, the debtor was elderly and on a fixed income with no prospect for future employment; in the other case, the debtor was severely disabled and unable to obtain employment.

On the other hand, I have seen people use credit cards to finance an education and then discharge those debts in bankruptcy.