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Can you file bankruptcy on unemployment benfits that you are suppose to pay them back?

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Yes. Of course, UI benefits, even for those at max in the most highly paid areas, are about 8K over the course of the allowed 6 months...which is rather small amount to feel is impossible to repay, and hence...as BK involves everything you own as well as everything you owe...you would want to lose and give up everything you have over to do.
Below are the list of the main things you cannot discharge in BK. But, lets be straight. UI pays you, you don't pay it. There is no UI program that is a loan and needs to be be paid back. You would only pay them back if you collected wrongfully or by deceit (like you went back to work and still filed like you were unemployed thinking no one would know). You swore everytime you filed that you knew collecting them when you shouldn't would be illegal and fraudulent. I suspect they made you a deal that as long as you pay them back, it won't be prosecuted, (or maybe they still will)? Debts (and legal penalties) and anything connected with illegal acts will not be discharged in BK. If you're doing a Chapter 7 bankruptcy, you can't discharge:
  • Taxes and tax liens
  • Student loans
  • Domestic support obligations (child support and alimony)
  • Luxury goods over $500 purchased within 90 days of filing
  • Fines or penalties of government agencies
  • Cash advances of more than $750 taken within 70 days of filing
  • Fraudulent debts
  • Willful or malicious injury to another
  • Death or personal injury from the operation of a motor vehicle, aircraft or vessel while intoxicated
  • Condominium or cooperative association fees
  • Debts not listed on your schedules
Debts arising from fraud or maliciousness are not automatically excepted from discharge. MORE IMPORTANTLY..MAYBE IT'S TIME TO DECIDE IF YOUR REALLY EQUIPPED OR EVEN GETTING ANYWHERE TRYING TO BEAT THE SYSTEM?
Thanks for the feedback!

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