Kundai graduated with an arts degree 2 years ago.He financed his degree using $10 000 in student loans and a $10 000 loan from his parents.Since graduating,he has married his high school sweetheart,Rhianni.She is currently pregnant,awaiting the birth of their first child.Kundai has not been able to hold a steady job since graduating and has therefore not been able to pay back his student loan or the loan from his parents.To make matters worse,his lack of employment has created stress in his marriage and his wife has left him and the family courts have ordered him to pay $500 per month in spousal support.He also owes Revenue Canada over $15 000 in unpaid taxes.The only good news is he recently received an insurance settlement on a car accident he was involved in 5 years ago.Kundai feels his only option is to assign himself into bankruptcy.Which of the following is true?
A) In bankruptcy,Kundai will be discharged from all his debt.
B) Kundai will probably only be discharged from the student loan,the parents' loan,but will have to pay the taxes,the spousal support,and the insurance settlement.
C) Kundai will probably only be discharged from the loan to his parents,the taxes,and the insurance settlement.
D) Kundai will probably only be discharged from the loan from his parents.
E) Kundai is not eligible for bankruptcy and could not discharge his debts.
Correct Answer:
Verified
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