Saturday, October 31, 2009

What do you do if your college went bankrupt and you were in the third semester? And you worked for them too ?

Can I do anything about getting paid for the work I did before they went bankrupt. Can I find another college to take my credits????
Answers:
MTI was a small proprietary school in Houston. As far as your credits are concerned, you may be out of luck, but it depends on which program you were in there.
As far as getting paid, as an employee you are at the top of the list, but behind the tax collector, when any of the money that may be left is handed out. You are ahead of all the other creditors.
The bankruptcy attorney should be contacting you. if not, go see him/her. You must make sure the federal court has your claim.
(1) Another college will likely take your credits if they were general education credits and if your college was accredited by a major accreditation organization (like the "North Central Association"). They may not take them all, but since you're only a year and a half in, they may.
(2) Getting paid for the work you did -- depends... if you were on work-study, that money should be guaranteed by the government. If you were a regular employee, you're a creditor just like everybody else. Depending upon the type of bankruptcy that your college declared (Ch. 11 or 13) you may get a portion of your salary now, or you may get put in a "recoganization plan" where you get paid over time.

It doesn't hurt to contact an attorney, even just for an initial consultation.
Good luck, and I hope you get paid!
i am not neccesarily following your question here - which college are you referring to that went bankrupt?
if, and this is a long if, the college would go into receivership and loose its accreditation after students are transferred to other schools.
i have not heard of any colleges' bankruptcy so i would be highly interested in knowing which one you are talking about.

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