If I have $50,000 in student loans and I only make $30,000 a year what can I do?

I also have $100,000 in medical bills and have 3 children. Is there anything I can do to alleviate that?

Asked on November 8, 2011 under Bankruptcy Law, Illinois


S.L,. Member, California Bar / FreeAdvice Contributing Attorney

Answered 9 years ago | Contributor

You won't be able to discharge the student loans by filing bankruptcy; however, the medical bills could be discharged by filing bankruptcy.

Chapter 7 is straight liquidation which eliminates your debts.  Chapter 13 requires a plan (budget) for repayment of creditors.

Your income and other factors will determine whether or not you are eligible to file  Chapter 7. If you are not eligible to file Chapter 7, you can file Chapter 13.

You will need to list all  of your creditors when you file bankruptcy if a balance is owed to a particular creditor.

It would be advisable to speak with a bankruptcy attorney.

IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.