Charlotte Bankruptcy attorney Bryan W. Stone answers the question: “What are the pros and cons of bankruptcy?”
Given how hard it is to get out from under student loan debt, it comes as no surprise that less than 1,000 people try the impossible feat every year. The Wall Street Journal recently ran an interesting piece on the subject that detailed five examples of outrageous demands made by lawyers for lenders (including the U.S. Department of Education) to explain to judges why student loan debt should not be forgiven. We intend to go through all five of the crazy explanations, with the fifth one appearing below.
Attorneys for lenders fighting against a 53-year-old Minnesota woman deserve credit for coming up with an inventive solution to her financial distress. In that case, the woman had asked the judge to discharge her $50,000 student loan debts given the fact she was receiving social security disability benefits and had no hope of returning to the workforce.
The lenders of course disputed the discharge, saying that she should consider opening a daycare as an alternative means of earning an income. The lenders had done a background check and figured out that she had once possessed a childcare license to operate a facility holding up to 12 children. The lenders did some calculating and decided that if she filled her place with 12 kids she could expect to earn $86,400 per year, more than enough to keep up with her student loan debt.
The only trouble is that the woman was blind, obviously disabled and so destitute that she had been reduced to sleeping on the floor of her son’s apartment. The lenders said only that the woman was “still capable” of operating a day care center and could do so “should her living situation change.”
The woman’s attorney said that she was struggling to get by on less than $600 per month in disability payments, did not own a home, a car or even a single piece of furniture. Her bankruptcy lawyer noted that she was poised to have the loans discharged but that she failed to show up to the trial. The attorney never even bothered charging her standard fees for the case, saying that the loan companies had simply run the woman down so badly that she had lost the will to keep fighting.
If you find yourself needing the services of a Charlotte, North Carolina bankruptcy attorney, please call the skilled lawyers at Arnold & Smith, PLLC today at (704) 370-2828. As professionals who are experienced in the bankruptcy arena, our attorneys will provide you with the best advice for your particular situation.
“Things Student Loan Lawyers Ask Borrowers Who File For Bankruptcy,” by Katy Stech, published at WSJ.com.
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