Can I Discharge My Student Loan in Bankruptcy?

The general answer is no. Student loans are not automatically discharged in bankruptcy. In fact, they are exempt from discharge.

In order to discharge the student loan, a debtor must file a special lawsuit called an adversarial proceeding to prove that the student loan poses an “undue hardship”. This is a very difficult burden to prove since the debtor must show that not only the debtor cannot pay the loan payments now but, that they will be unable to pay them in the future as well. Because of the high burden, discharges on student loans are limited to persons with health or disability issues.

If you have a question concerning bankruptcy, you should contact an experienced bankruptcy attorney.

-Kent S. DeJean

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