Charge-off or Chapter 7
Date: Wed, 03/30/2011 - 20:25
I haven't paid since november because I lost hours at work and I have tons of other bills that keep coming at me including car loan and credit card debt and not to mention I have a baby.
I tried forbearances or payment plans or even reconsolidation loans but because of my Federal student loans not being paid either because they are so much more expensive than the wells fargo loan my credit score flopped in a downward spiral and now they are tell me that I am about to get a charge off tomorrow if I can't come up with 550.00 in back payments by tomorrow at 2pm and I owe a total of 16000.00 to them.
I don't want to go to court and I don't have much to eat, get gas or even pay for a roof over my head, if they garnish my already lowered paycheck.
I was looking online and thinking about filing for bankruptcy using chapter 7 in PA and I need to know which would be better for me?
Student loans are not dischargeable in any chapter of bankruptcy
Student loans are not dischargeable in any chapter of bankruptcy. In some cases, you may discharge it provided you can prove that repaying the loan creates an undue hardship on you or your family. However, in most cases request to discharge student loans are rejected by the court.
so would it be better to let them do a charge off and meet them
so would it be better to let them do a charge off and meet them in court? Because I already have deliquency on my credit report so this charge off would be a double whammy for me and it would take 14 years for those to come off and I really need my money I receive each paycheck for other bills and living expensives.
if they decide to go with garnishing my wages I am screwed because they will take as much as they can from my paycheck for 7-10 years non stop and I won't have money to buy food or even have a roof to stay under because rent is expensive too.
