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When the collector is the state?

Phoenix, AZ |

I'm headed for bankruptcy. :( I've never done it in my life and do not wish to start now. Is there anything I can do to get a "debt" waived or significantly reduced? I support a family of 4 in San Diego on less than $1800/ no. State of az claims I owe them nearly $10,000 after interest to repay undeserved unemployment insurance funds. No fraud was involved. Their employee/ deputy lied to me though and that is why I now "owe". Thanks

I mean: Is there anything I can do as an alternative to bankruptcy? I know there is a statute of limitations on regular debt, but is there one on state debt? I mean can they garnish after 7 years or whatever? Does it matter that I live in Cali but owe AZ? Thanks.

Attorney Answers 1


  1. Unemployment owed to the State of AZ can be discharged (wiped out) in a bankruptcy case.

    The information contained in my answer is provided for informational purposes only, and should not be construed as legal advice.