consumer bankruptcy

The Department of Education has made an effort to help clarify what constitutes undue hardship, to help determine whether a student loan debt can be discharged in bankruptcy. These factors and criteria are offered as considerations by lenders for the debt relief: The debtor has filed for bankruptcy resulting from circumstances beyond his or her […]

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The Department of Education recently introduced a guide on how it will address requests to forgive government backed student loan debt. The guide is helpful, but not really favorable for the students who have to carry the debt burden. The guide aims to create a balance between getting repayments of student loans except where the […]

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Tuition claw back lawsuits are a recent phenomenon. In the past, tuition expenses were so little that court-appointed trustees usually disregard them.  But recently, more and more parents are helping out to pay for their kids’ college expenses, causing bankruptcy experts to believe that more of these lawsuits will come. Nearly fifty percent of parents […]

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Bankruptcy trustees are filing lawsuits against universities and even college students to recover tuition payments as part of an assertive and flourishing legal strategy. Parents who declare bankruptcy after spending money on the soaring price of college tuition could be scrutinized by bankruptcy trustees who claim that the money they obtained should have been allocated […]

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A bankruptcy judge is finding out whether Johnson & Wales University must turn over tuition money after parents of a former student filed for bankruptcy.  She is trying to find out who exactly paid the educational costs, whether it is the parents or the government. Chief Judge Julie A. Manning of the United States bankruptcy […]

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Consumers cut down credit card debt by 11% in 2011. The average credit card debt of consumers last year was $6,576, which was $7,404 in the previous year, based on a data from financial education and credit tracking website CreditKarma.com. The drop was caused by a weakened confidence of consumers that have been spending in […]

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