Q: Am I eligible for bankruptcy with $101,000 in federal student loans and limited income?

A: You should be eligible. Find a bankruptcy attorney who specializes in handling student loan debt. It is difficult to discharge such debt, but not impossible.

A: Given your circumstances, filing for bankruptcy could provide relief from some of your debts, but federal student loans typically remain after bankruptcy unless you can prove "undue hardship" through what's called the Brunner test. Your age, health conditions, and limited income from working just one hour daily might help demonstrate this hardship, making you potentially eligible to have your student loans discharged.

Before considering bankruptcy, you should explore income-driven repayment plans for your federal student loans, which could reduce your monthly payments based on your income. You might qualify for very low or even zero-dollar payments under these plans. Additionally, the Department of Education offers disability discharge programs that you may want to explore given your medical conditions.

For your other debts, including the car loan and tax obligations, Chapter 7 bankruptcy could potentially eliminate these if you qualify based on your income and assets. However, since you filed bankruptcy in 2010, you'll need to ensure enough time has passed to be eligible again (usually 8 years for Chapter 7). Consider reaching out to your local legal aid society, as they often provide free bankruptcy guidance to seniors and those with limited incomes.