Bankruptcy seems like a better and better option the more you see your student loan debt escalate. Making minimum payments on a major loan like student debt can be discouraging as it seems your debt never shrinks. This can put a bind on your other living expenses and debt and force you to consider every option for debt relief available to you. Filing for bankruptcy may be an option for you if the burden of your student loan is too much to bear.
However, it’s important to note that just filing for bankruptcy does not mean your student loans will be discharged. Proving that your student loans are causing you undue hardship is one step in a complicated process that can be challenging without the help of a proper bankruptcy attorney. Consult with an attorney today to see the likelihood your student loans will get discharged in a bankruptcy.
Does Having a Private Student Loan Affect Me?
Student loans can come from many sources. One of the major types of student loans is private student loans. These loans don’t come from the government but rather from private institutions. Having private student loans may actually increase your chances of getting your student loan debt discharged due to the nature of the loan itself. Private student loans typically have a fixed payment structure, no matter how much money you are making in income.
That means if you get a lower-paying job than you anticipated coming out of college, you’ll still have to pay the agreed-upon payment. This can get especially tricky as time goes on and other debts continue to pile up around you. A bankruptcy court may view this to be undue hardship if it is truly affecting the way you live your life. Consult with a bankruptcy lawyer to have your debt evaluated and see if your private student loans increase your chances of getting your student loan debt discharged.
Can Federal Student Loans Get Discharged?
If you received federal student loans, you still have the chance of getting your student loans discharged. Federal student loans can come with income-driven repayment plans but even with this adjusted payment, it can be difficult to meet the minimum payments. If your federal student loans are giving you enough grief, a bankruptcy lawyer can help you put together a plan to file for bankruptcy to try to get your student loans wiped out.
What Can a Bankruptcy Attorney Do To Help My Student Loans Get Discharged?
While every situation is different, an attorney is trained to handle all types of clients when it comes to their debt and student loan issues. Israel & Gerity, PLLC is here to help with any student loans in bankruptcy needs. Contact us at 602-274-4400 for a risk-free consultation to get you started.