Rising education costs are making headlines, so let’s discuss borrowers’ rights to discharge student debt in bankruptcy.
Tuition costs have been rising for decades, outpacing American’s income growth and leaving many with overwhelming debt from student loans and interest. With these high costs in the headlines, there is also a lot of talk about how student loans cannot be discharged in bankruptcy. But in reality there is hope for those buckling under the weight of this debt. A recent article by U.S. News & World Report explains that student loan “borrowers can initiate an adversary proceeding and fight to have student loans discharged during bankruptcy.” In response to this news, our office has been sharing information about the truth behind discharging student loan debt in order to educate the community about their financial rights.