Student Loan Discharge

Along with unexpected health care concerns, divorces and the volatility of the housing market, people are increasingly overwhelmed with debt because of outrageous tuition bills and mounting student loan debt. Many of these debts are owed to the United States government, and student loan discharge is nearly impossible to achieve through bankruptcy filing, but there are options available to find debt relief in other ways.

With more than 30 years as a bankruptcy lawyer behind me, I have had people in a wide variety of situations contact me for help with their debt issues. I treat each of my clients with direct attention, personal service and a willingness to listen, inform and empower my clients to make advantageous decisions.

Even if the bulk of your debts are related to student loans that are not likely to be discharged when you file for bankruptcy, other debts you have accumulated may be eligible for discharge.

Before you make any decisions, schedule a free consultation and discuss your options with me, attorney Jeffrey P. White. I am here to help.

Loan Deferment, Payment Plans And Options For Student Loan Debt Relief

If you know you are in over your head with student loans, do not simply let your bills go unpaid. Defaulting on your student debt will only make problems worse. There are ways to ease the financial burden while still meeting the demands of your creditors.

  • Deferment and forbearance: You may be able to delay payments on your loans by applying for loan deferment or loan forbearance with the loan servicer that handles your loan account. These options relieve pressure on debtors who face unexpected hardships (i.e., health issues, unemployment, income limitations, etc). The type of relief you apply for will depend upon the type of loan you have. When the deferment or forbearance period is over, you then resume making scheduled payments with your creditor.
  • Restructured payment plans: Sometimes having a lower, more manageable monthly payment can help you meet creditor demands. Different student loans provide different ways to organize repayment plans, negotiate lower interest rates or consolidate loans into one account. Work with your loan servicer to learn more about these options.
  • Loan cancellation: It is very rare to be eligible for student debt cancellation, but it is possible. Cancellation only applies to certain types of loans and situations, for example, loans that arise from attendance at a school that closed while you were enrolled, erroneous loans, or an inability to work for long periods of time or because of terminal illness.
  • File for bankruptcy to deal with other debt obligations: If none of these options provide the relief you need, and you have other debts such as medical debt or credit card debt, bankruptcy may help you address these concerns.

Discuss your options with me, attorney Jeffrey P. White, to learn more about how bankruptcy can help with your student loan debt problems. My office in Auburn can be reached online or by telephone at 207-689-2111 (toll free at 888-351-8426).

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.