Chapter 7 Bankruptcy

Have any of you US citizens filed this while living abroad in the UK? If so, what can you tell me about the process and requirements and the practicalities of filing for bankruptcy in one country while living in another? I think it's probably going to be my only option for (hopefully) dealing with my student loans, so I'm looking into it now, before they go into repayment.

I could be wrong as I have no sources to back me up...but from what I understand it's nearly impossible to discharge loans even in bankruptcy. So hopefully you can get some reliable advice on how the loans will be affected before you make that decision.

I'm learning that student loans are an even bigger burden as an expat especially married to a brit and filing 'separately' meaning i lose the tax deduction on loan interest! But also with the extra hoops of transferring money and paying from a us account. So I wish you all the luck and hope you are able to find some information that works out for you!

I thought student loans were basically one of the only types of debt that was not dischargeable in bankruptcy.

I thought student loans were basically one of the only types of debt that was not dischargeable in bankruptcy.

That and some government/court-ordered debts like child support, fines, and (in some cases) taxes.

You may be able to manage them if you qualify for income based repayment.  The only downside is that once you reach the forgiveness period (20 or 25 years depending on which repayment plan you're on) the forgiveness is considered taxable income.

That and some government/court-ordered debts like child support, fines, and (in some cases) taxes.

That is correct.  However since Obama passed the law ( couple years ago) a person cannot be charged over a certain amount of their income.  So all you have to do is call up the lender let them know you want to do income based IBR (income based payments) fill out the forms and your payments will be reduced.  If you have loans with more than one lender be sure to let them know as this is also used in the calculation for income based payments.  Be prepared to submit all kinds of documentation.  The downside, it has to be renewed each year