This is not how bankruptcy works. When you declare bankruptcy, you have to propose a plan for repaying your creditors to the best of your ability, and that has

This is not how bankruptcy works. When you declare bankruptcy, you have to propose a plan for repaying your creditors to the best of your ability, and that has to be approved by a court. You don't just fill out a form and file it at the local ATM; there are judges that exist to stop exactly this sort of mischief. If your theory is true, it should apply to all unsecured creditors---especially credit cards. Why isn't it common practice to incur tens of thousands of dollars in credit card debt during college and then declare bankruptcy the day after graduation? Credit cards aren't secured debt---Chase has no legal right to repossess your Xbox. The answer is because this is the real world and that's not how the bankruptcy code works.