My question involves collection proceedings in the State of: New Jersey.
Please let me know how the recent TERI bankruptcy will affect my defaulted student loans with them. TERI subsequently issued a civil judgement issued against me that was sent to my parents' home. At the time, I was living on the other side of the country and by the time I received notice of the pending litigation, the judgement had already been rendered against me. I was not able to travel and defend myself in court. Right before I had this judgement rendered against me, one of their collection attorneys contacted me and I requested a re-payment plan. He demanded the payment in full- which was close to 8K. I had just found an entry-level position at the time and could not pay that amount, but he would not budge. Shortly thereafter the civil judgement was issued.
I also have a federal government loan that's under the William Ford Consolidation program that I had attempted to install a re-payment plan for. My understanding is that any debt you incur before marriage is yours and your spouse is not liable. However, I was required (and subsequently complied) to complete "income-contingent" forms for both myself and my spouse before I could be enrolled in the repayment plan under the Ford program. Is this allowed? Again, my understanding is that they cannot go after my spouse's assets.
Thank you for any feedback.