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[Steve Jackson]

Hi Casey

You are right, if your income is very low when you go bankrupt it is possible that your reasonable living expenses will actually be higher than your income. As such even if you get additional part time work during the year it is likely that you will still not be asked to pay anything towards your debts and be discharged from bankruptcy without paying anything.

In terms of paying for the course you want to go on, I would say it would be best to do this before you go bankrupt. It will not be frowned upon if it is going towards you getting better job prospects. Aside from that you can have cash in your bank account before you go bankrupt without risk as long as it is no more than you need to live on (ie no savings which would be at risk).

[Casey]

Hi Steve,

Thank you so much for your helpful answer. You people are doing a great job!

Best wishes,

Casey

[Hayden]

I agree with Steve Casey, it is quite normal for someone declaring bankruptcy to have reasonable living expenses that are higher then their income. You have to remember that in bankruptcy you will only be asked to pay anything towards your debt if you have anything left from your income after all of your living expenses are covered. As such if your income is much lower than your reasonable living expenses at first and then you start earning more generally you will have nothing to worry about as you will simply be able to keep the extra you earn.