Bloomberg Law
Dec. 12, 2017, 12:23 PM

Sympathetic Judge Won’t Wipe Out Jobless Woman’s Student Debt

Daniel Gill
Daniel Gill

A 62-year-old unemployed woman suffering from diabetic neuropathy was unable to get her student loan debt discharged in a Texas bankruptcy court.

Judge Harlin D. Hale, of the U.S. Bankruptcy Court for the Northern District of Texas, expressed sympathy for Vera Thomas. But he noted that his hands were tied under the controlling law of the Fifth Circuit, and that she failed to satisfy the stringent test for discharging debt.

Thomas got a student loan for junior college and owes about $7,800 in principal and interest. She only made two $42 payments.

After losing her job as a customer service ...

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