1) If she cannot show them her means of support to support you spending so they will approve her bankruptcy, she has no choice but to abandon the bankruptcy and wait for the statute of limitations to run.
2) Usually, any assets she has other than exempt assets must be given up. Only 25% of income can be garnished.
3) She is still better off trying to convince the trustee to accept her bankruptcy filing so she can get out from under this cloud.
4) She can always abandon the bankruptcy filing.
5) Yes, she can move to where her cost of living is less. The creditors will be able to follow her, but if she has nothing...again, they can get nothing.
6) I think, if she has nothing, bankruptcy would be the best route..her credit is already trashed and she can get out from under the cloud immediately and start to move forward with her life. btw...you're a good friend!!!
I hope this has given you the guidance you were seeking. I wish you the best of luck!
If you have a follow-up question, please remember that there might be a delay between your follow up questions and my answers because I may be helping other clients or taking a break.
The information given here is not legal advice. As all states have different intricacies in their laws, the information given is general only. This communication does not establish an attorney-client relationship with you. I hope this answer has been helpful to you.