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Showing 1 post tagged Chapter 13 Bankruptcy.
Student Loans and the Rising Acceptance of Bankruptcy Non-Dischargeability: Lenders Beware?
Posted In Consumer Debts, Lenders
Since 2005, student loans have been nondischargeable in bankruptcy proceedings unless a debtor can prove that repayment would subject him/her to “undue hardship.” Historically, this standard has been incredibly hard to meet, causing debtors to emerge from bankruptcies still covered in student loan debt. Now, due to the ever-expanding student loan bubble, bankruptcy courts around the country are starting to take a second look at student loan debt and what can be done to change the way bankruptcy judges approach the problems student loan debts create. This added scrutiny by the courts should make lenders who offer private student loans or consolidation loans wary. More >
