Bankruptcy is a legal process through which people or other entities who cannot repay debts to creditors may seek relief from some or all of their debts. In most jurisdictions, bankruptcy is imposed by a court order, often initiated by the debtor.
Chapter 7 of Title 11 of the United States Code governs the process of liquidation under the bankruptcy laws of the United States, in contrast to Chapters 11 and 13, which govern the process of reorganization of a debtor. Chapter 7 is the most common form of bankruptcy in the United States.
Debt relief or debt cancellation is the partial or total forgiveness of debt, or the slowing or stopping of debt growth, owed by individuals, corporations, or nations.
Debt consolidation is a form of debt refinancing that entails taking out one loan to pay off many others. This commonly refers to a personal finance process of individuals addressing high consumer debt, but occasionally it can also refer to a country's fiscal approach to consolidate corporate debt or government debt. The process can secure a lower overall interest rate to the entire debt load and provide the convenience of servicing only one loan or debt.
A debtor or debitor is a legal entity that owes a debt to another entity. The entity may be an individual, a firm, a government, a company or other legal person. The counterparty is called a creditor. When the counterpart of this debt arrangement is a bank, the debtor is more often referred to as a borrower.
David Rolfe Graeber was an American anthropologist and anarchist activist. His influential work in economic anthropology, particularly his books Debt: The First 5,000 Years (2011) and Bullshit Jobs (2018), and his leading role in the Occupy movement, earned him recognition as one of the foremost anthropologists and left-wing thinkers of his time.
WyoTech, formerly known as Wyoming Technical Institute, is a for-profit, technical college founded in Laramie, Wyoming in 1966. WyoTech provides training programs that prepare students for careers as technicians in the automotive and diesel industry.
Andrew Ross is Professor of Social and Cultural Analysis at New York University (NYU), and a social activist and analyst. He has authored and edited numerous books, and written for The New York Times, The Guardian, The Nation, Newsweek, and Al Jazeera. Much of his writing focuses on labor, the urban environment, and the organisation of work, from the Western world of business and high-technology to conditions of offshore labour in the Global South. Making use of social theory as well as ethnography, his writing questions the human and environmental cost of economic growth. Outside his field, Ross is known as a recipient of the 1996 Ig Nobel Prize for literature for his part in the Sokal hoax.
Debt settlement is a settlement negotiated with a debtor's unsecured creditor. Commonly, creditors agree to forgive a large part of the debt: perhaps around half, though results can vary widely. When settlements are finalized, the terms are put in writing. It is common that the debtor makes one lump-sum payment in exchange for the creditor agreeing that the debt is now cancelled and the matter closed. Some settlements are paid out over a number of months. In either case, as long as the debtor does what is agreed in the negotiation, no outstanding debt will appear on the former debtor's credit report.
Corinthian Colleges, Inc. (CCi) was a large for-profit post-secondary education company in North America. Its subsidiaries offered career-oriented diploma and degree programs in health care, business, criminal justice, transportation technology and maintenance, construction trades, and information technology.
Everest College was a system of colleges in the United States, and with Wyotech, made up Zenith Education. It was until 2015 a system of for-profit colleges in the United States and the Canadian province of Ontario, owned and operated by Corinthian Colleges, Inc.. In 2021, former Everest students are eligible for automatic student loan debt relief through the US Department of Education.
After the Haitians gained independence from French colonial rule in the Haitian Revolution of 1804, the French returned in 1825 and demanded that the newly independent country pay the French government and French slaveholders the modern equivalent of US$21 billion for claiming slaveowner's property and the land that they had turned into profitable sugar and coffee producing plantations. This independence debt was financed by French banks and the American Citibank, and finally paid off in 1947.
Student loans in the United States are a form of financial aid intended to help students access higher education. In 2018, 70 percent of higher education graduates had used loans to cover some or all of their expenses.
Student debt is a form of debt that is owed by an attending, formerly withdrawn, or graduated student to a lending institution, or to a financial institution.
Astra Taylor is a Canadian-American documentary filmmaker, writer, activist and musician. She is a fellow of the Shuttleworth Foundation, for her work on challenging predatory practices around debt.
Occupy Wall Street (OWS) was a protest movement against economic inequality and the influence of money in politics that began in Zuccotti Park, located in New York City's Wall Street financial district, in September 2011. It gave rise to the wider Occupy movement in the United States and other countries.
The Occupy movement was an international populist socio-political movement that expressed opposition to social and economic inequality and to the lack of perceived "real democracy" around the world. It aimed primarily to advance social and economic justice and new forms of democracy. The movement has had many different scopes, since local groups often had different focuses, but its prime concerns included how large corporations control the world in a way that disproportionately benefits a minority, undermines democracy and causes instability.
Navient is a U.S. corporation based in Wilmington, Delaware, whose operations include servicing and collecting student loans. Managing nearly $300 billion in student loans for more than 12 million debtors, the company was formed in 2014 by the split of Sallie Mae into two distinct entities: Sallie Mae Bank and Navient. Navient employs 6,000 individuals at offices across the U.S. As of 2018, Navient services 25% of student loans in the United States.
Educational Credit Management Corporation (ECMC) is a United States nonprofit corporation based in Minnesota. Since 1994, ECMC has operated in the areas of student loan bankruptcy management and loan collection. ECMC is one of a number of guaranty agencies that oversee student loans for the United States Department of Education. As a guarantor working on behalf of the U.S. Department of Education, ECMC charges fees to debtors and earns commissions from taxpayers by collecting on defaulted student loans pursuant to the Higher Education Act. In return, the U.S. government has retrieved billions of dollars from student loan debtors. From 1994 to 2015, according to ECMC, they returned $4.3 billion to the U.S. Treasury.
Debt-trap diplomacy is a term in international finance which describes a creditor country or institution extending debt to a borrowing nation partially, or solely, to increase the lender's political leverage. The term was coined by Indian academic Brahma Chellaney.
