QUESTION
Can a judgement for a contractual agreement with a school be discharged with chapter 7 bankrupcy?
Asked on Jul 10th, 2013 on Bankruptcy - New Jersey
More details to this question:
I didn't receive any government loans for schooling. Because of medical reason, I had to discontinue my schooling. I now have a judgment on my credit, since 2009. My husband and I want to file chapter 7 bankruptcy. We are a 1 income family of 5 people. Income is appr. $1,820 a month (gross). Net income avg. is $1,600 a month. Necessary household expenses (rent, water, power, gas) are roughly $1,380 a month. That doesn't include insurance and things such as soap, tissue, if the children need clothes or shoe, medications, etc. Either way would this type of judgment be considered for discharge?
7 ANSWERS
Although neither private nor governmental student loans are dischargeable in bankruptcy, past due tuition is dischargeable. If the judgment is based simply on unpaid tuition, it would be dischargeable in bankruptcy. You should contact a competent bankruptcy attorney in your area to discuss this matter.
Answered on Aug 01st, 2013 at 5:48 PM
The devil is always in the details and to offer you a guarantee that this judgment could be eliminated would require an attorney to actually review the paperwork. Many times judgments are records and can act as a lien against any property you may own, including property you believe is protected by a homestead exemption.
Answered on Jul 31st, 2013 at 8:11 PM
Bankruptcy Law Attorney serving Austin, TX
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Law Office of Susan G. Taylor
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If the debt is not a student loan, it should be dischargeable.
Answered on Jul 31st, 2013 at 1:44 PM
Bankruptcy Attorney serving Florissant, MO
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Law Offices of Thomas Corcoran Phipps
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If you didn't receive any funds you will need to explain that in your bankruptcy schedules. You will still list the judgment as a debt.
Answered on Jul 31st, 2013 at 9:28 AM
Chapter 7 Bankruptcy Attorney serving Appleton, WI
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Sisson & Kachinsky Law Offices
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It should be dischargeable.
Answered on Jul 30th, 2013 at 9:33 PM
Bankruptcy Law Attorney serving Livingston, NJ
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Law Office of Stuart M. Nachbar, P.C.
2 Awards
If there is any paperwork on this, counsel would need to review it to make the decision.
Answered on Jul 30th, 2013 at 9:20 PM
General Law Attorney serving Cherry Hill, NJ
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Mark S. Cherry, Attorney at Law, PC
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Student loans are generally not discharged.
Answered on Jul 30th, 2013 at 9:19 PM