Bankruptcy discharge and Surplus Income
October 5th, 2006 by Questions
Are the circumstances that led to bankruptcy taken into account come discharge time should a creditor oppose? For instance, I had a really good credit and zero debt (after fully paying off large student loans and a car loan) prior to venturing into a business that destroyed me financially (130K in debt). The reason for failure is as much my fault (hard work but no business experience) as the misrepresentation and dishonesty of the franchisor that I’ve considered suing but opted against after consulting with a lawyer (50% chance of winning but cannot afford the legal costs).
I’ve already lost a substantial amount of income running the business and the franchisor and creditors are after me. My only option seems to be bankruptcy but since I make a good living at ~75K, I’m afraid that an early discharge (9 months) is unlikely. What would stop a judge from granting the creditors surplus income for 2, 3, or 4 years?