When your young they tell you to go for your dreams and that you can be anything you want when you grow up. I unfortunately dreamed of being a teacher I couldn’t afford to go to college and took out expensive private loans (about 64,000 total now with interest) and a credit card (5,000) for other expenses. I graduated top of my class with a 3.86 GPA and was sue I would finally achieve my dream. I live in PA and there are no Elementary teaching jobs available in fact schools are being closed and teachers being laid-off. The best I could find was an aide position in an autistic support classroom. I ended up getting pregnant and laid-off and now I am living on unemployment with a 6 week-old baby. I keep having to put my student loans in forbearance and am running out of time. I couldn’t afford living in my apartment,car, and paying my credit card. I am now being sued by my credit card and have 25 days till the court hearing. I can’t afford an attorney because my fiance’ is living with me who makes about $1950 a month (I make 600 a month from unemployment) I called a pro-bono company who told me I am over the income limit to receive free legal help. I can’t even marry my fiance for the fear that my bad debt will hurt him (such as taking his house or garnishing his wages) I do eventually want to go back to work but my baby has medical issues and is still young and I can’t find a teaching job and even if I did the cost of putting her in daycare would probably make it not worthwhile.
What should I do about this credit card lawsuit? Is bankruptcy my best option even though it will be costly? What can I do about my student loans? Please help I feel hopless and scared… so much for dreams.
Let’s take this in stages. You can get married. Your debt will not impact your new husband as long as it is in your name alone.
At present four U.S. states — North Carolina, Pennsylvania, South Carolina and Texas — do not allow wage garnishment at all except for debts related to taxes, child support, federally guaranteed student loans, and court-ordered fines or restitution. Several other states observe maximum thresholds that are lower than the 25 percent maximum provided by federal law. – Source
It sounds like filing bankruptcy is the best course moving forward but if you can’t afford that right now then I still think you should meet with a local bankruptcy attorney to get educated about what bankruptcy would mean for you.
If you can’t afford to file bankruptcy you might just have to let the lawsuits pile up till you can deal with them. At the very least, try to find a local attorney who can give you some legal advice about your situation.
Since you have private student loans those have to be your first priority and you’ll need to pay them first before you pay any other unsecured debt.
I’m not clear, is your entire debt outside of the student loan only $5,000?
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