One of the common questions we recieve is whether student loans are discharagable in bankruptcy. Generally, the answer is no. However, there are certain exceptions. The Sixth Circuit uses what is know as the Brunner test to determine whether or not someone may discharge their student loans. To learn whether you meet the criteria of the Brunner test contact us.
If your student loans are not dischargable, but you have a lot of consumer debt (credit card bills, medical bills, pay day loans, etc.), then bankruptcy may still be a good solution to get you back on track to pay your student loans. A Chapter 7 bankruptcy can eliminate your consumer debt so that you can focus on paying your student loans. Additionally, if you don’t qualify for a Chapter 7 bankruptcy, then a Chapter 13 may be a better fit to get your financial life reorganized.
Bankruptcy isn’t the right choice for everybody, but it may be the right choice for you. Contact us to learn more about your options and to develop a plan of action to get you back on track.