MasConcepts Incorporated

I’m trying to understand whether bankruptcy is something I should seriously explore or if I’m just reacting emotionally after a rough few months.

I’m an RN making about $45/hr. I have roughly $40,000 in credit card debt, most of it above 20% APR, and about $75,000 in federal/private student loans. I’ve managed to tackle some but my monthly payments are barely making a dent.

I recently went out on medical leave. My short-term disability claim is still being appealed because of missing medical records, and I burned through most of my savings while I was out.

My credit score is around 650.

My long-term goal is CRNA school. If that happens, I likely won’t need to borrow for a house or major purchase for several years, which is one reason bankruptcy crossed my mind.

I understand student loans generally survive bankruptcy. My question is whether someone in my position, with RN income but significant high-interest credit card debt, should be looking at Chapter 7 or Chapter 13, or whether this is the kind of situation where debt management/consolidation is usually the better path.

I’m looking for honest feedback, not validation.