Will I ever get relief from student loans through bankruptcy?

| Dec 22, 2019 | consumer bankruptcy | 0 comments

Bankruptcy can be a huge relief when you have too much debt. If you cannot get your head above water, filing bankruptcy in Kentucky enables you to start fresh and get control over your finances again. It is a great solution in many cases. However, there are certain debts that you cannot get rid of through bankruptcy. One such debt is student loans. 

There are limited cases where you can discharge student loan debt, but it is difficult to do, so for most people, it is not possible to get rid of the debt. For many people, student loan debt makes up the bulk of the debt they have. Not being able to handle that debt leaves them in a difficult position even after filing bankruptcy. The good news is some in the government recognize there is a student loan crisis in the country. 

According to Business Insider, there is a proposal to change the law so you could discharge your student loans in bankruptcy. The bill is the Student Borrower’s Bankruptcy Relief Act of 2019. While it is unlikely to pass as it stands in both houses, it is a start to figuring out how to help people like you with high amounts of student loan debt. 

This is something that many in the government feel strongly about due to the high levels of student loan debt and how debilitating it can be on a person’s finances. So, one day, you could have the option of filing for bankruptcy and including your student loan debt. This information is for education and is not legal advice.