Income Families Weddings Dear Dollar Stretcher, My husband and I have been with a credit counseling service for two years. We're making monthly payments that were less than without the service. We are considering bankruptcy to stop paying on the old debt and get prepared for the student loan payments. We have been trying for two years and feel as if we have gone nowhere and want to declare bankruptcy to get back on our feet. It's easy to see why Kay and her husband feel overwhelmed by the debts facing them.
Many recent graduates have large student loans when they graduate, and that's understandable.
A good education is a worthwhile goal, and education can pay off handsomely. But these earnings figures include people who have been in the workforce for years. And Kay implies that earnings alone won't solve their problem. Let's take a look and see if we can't help them decide whether bankruptcy is the best course of action. We'll begin by looking at some facts that will affect the decision.