However, student loans can be discharged through the bankruptcy procedure. However, you should be aware that this is an uncommon and difficult process. Although a bankruptcy attorney may be able to assist you, it will primarily depend on your financial situation and the judge assigned to your case. In light of the expanding problem of student loan debt, judges are hesitant to establish a new precedent allowing this debt to be discharged, lest the floodgates be opened.
Discharging Student Loan Debt through Bankruptcy
In order to receive a bankruptcy discharge, you must satisfy three fundamental requirements. You must meet all three requirements to the satisfaction of the adjudicator. The phrase """"judge's satisfaction"""" is somewhat arbitrary and depends on the specific circumstances of your case. However, the following three conditions must be met:
You are living in abject destitution. This could be influenced by the national poverty rate. Or, the magistrate in your case could employ an alternative method of evaluation. In addition, you must exist in abject poverty with no reasonable expectation of advancement.
It appears that your financial situation has stabilized. For example, if you are over the age of 50 and earning minimum wage, a court is likely to determine that you have reached your wage ceiling and that your financial situation is unlikely to improve significantly.
You must have demonstrated a sincere desire to repay the debt. If you have been diligently attempting to repay your loan for a number of years, your odds of having it discharged increase dramatically.
Alternatives for Overcoming Student Loan Debt
If you do not believe you will meet all three of these requirements for a bankruptcy discharge, you may be able to eliminate your debt through alternative means. If you work for a company that offers bonuses, speak with your supervisor about receiving assistance with loan repayment. Instead of receiving airline miles or a paid weekend getaway, request assistance with your student loan debt.
Also, contemplate returning to school and seek funding. Your student loan debt is suspended while you are in school, and you become a more desirable candidate for higher-paying positions. Your employer may even subsidize your return to education.
Do not lose faith. The important point to remember is that student loan debt is not insurmountable. It may be more difficult than other varieties of debt, but it can be resolved!""
" - https://www.affordablecebu.com/
