Can student loans ever be discharged through Chapter 7 bankruptcy?
Private student loans are sometimes discharged, though it is rare. Courts hold stringently to the requirement that you must show that paying off the loan will impose an “undue hardship” on you and your dependents. You must be able to show that you cannot pay the student loan payments now and will not be able to in the future. Courts have been more likely to grant this discharge in the cases of debtors who are permanently disabled from working. Chapter 13 bankruptcy allows you to include the student loan in your payment plan, but you are still responsible for all the debt that remains once your payment plan is complete.
Related Questions
- I received a discharge in a Chapter 7 Bankruptcy, but some debts that could not be discharged remain. Can filing a Chapter 13 help me with these debts?
- Can a child support overpayment judgement be discharged in either through chapter 7 or 13 bankruptcy?
- What type of debt is discharged in a Chapter 7 bankruptcy?
