Law Office of Allan E. Dunaway, PLC

Bankruptcy helps college students with credit card debt to a fresh start

When you are young, credit cards seem like a great idea. You can make purchases up to your credit limit and only have to repay at the minimum payment rate. And credit card companies know one source of new cardholders is college students. They are young and inexperienced in handling money, and they are full of promise, with the prospect of well-paying jobs awaiting when the graduate.

Except in this economy, where many find there may be few jobs in their major, and even if they find a job, it may be a low-paying, entry level position that may never lead to much more. Many college grads are left working for low wages in restaurants and retail, and credit card debt combined with student loan repayment obligations may lead them looking for solutions, like bankruptcy.

The credit card industry provides lots of scary propaganda that bankruptcy is the last thing anyone should ever consider. But they don't really mean it. Many people who file for bankruptcy protection find they receive applications for credit cards before there discharge is granted by the court.

A Huffington Post tells of a college student who filed for bankruptcy at 23, after she wound up with more than $20,000 in credit card debt on her four credit cards. She noted that her bankruptcy help her recover her financial footing and move on with her life.

Chapter 7 can provide a fresh start for debtors who have gotten in over their heads. Her situation is not uncommon, as the average college student has four or more credit cards. If this circumstance sounds familiar, contact a bankruptcy attorney to see how they can help.

Source: Huffington Post, "Bankrupt at 23: College grad's financial ruin and rebound," Feb. 11, 2013

No Comments

Leave a comment
Comment Information
Contact the Firm

Get Sound Advice In A Free Consultation

For sound bankruptcy advice you can count on, from a skilled lawyer who truly cares about your future, contact the Louisville Law Office of Allan E. Dunaway, PLC. We have two convenient locations: Louisville, Kentucky, and Jeffersonville, Indiana. Our main office in Louisville is located off the beaten path so you won't have to deal with downtown traffic and can pull right up to our door and walk right in.

Call us at 502-785-1005, or send an email message. Our law firm welcomes the opportunity to serve you in any way we can.

If for some reason personal bankruptcy is not for you, if you do not qualify for the Chapter 7 approach via the "means test" and Chapter 13 reorganization is not the answer, Allan E. Dunaway works hard to inform you of other appropriate means of debt settlement that suits your unique needs.

Bold labels are required.

Contact Information

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.


Privacy Policy

Kentucky Office

Indiana Office

714 Lyndon Lane
Suite 4
Louisville, KY 40222

Phone: 502-785-1005
Fax: 502-412-2258
Louisville Law Office Map

530 East Court Avenue
Jeffersonville, IN 47130

Phone: 502-785-1005
Fax: 502-412-2258
Jeffersonville Law Office Map