If you are overwhelmed by student loan debt, you are not alone. Although it is extremely difficult to discharge student loans in a Chapter 7 or Chapter 13 bankruptcy filing, there are other options for obtaining relief.
We can review which types of loans you have and help determine whether you qualify for loan forgiveness or cancellation. A few examples of programs that you may be eligible for include:
- Disability discharge. Some loans can be eliminated if you have been permanently disabled.
- Closed school discharge. If the school closes while you are attending classes and you are unable to complete your programs due to the closure, certain federal student loans could be cancelled.
- Teacher loans. If you are a new borrower and a full-time teacher in a low income elementary, secondary or educational service agency for five consecutive years, you may qualify to have up to $17,500 of your federal student loans forgiven.
- Public Service loans. If you have made 120 payments on your direct loans, you are not in default and you are employed in specified public service jobs, the remaining balance may be forgiven.
It is important to note that filing a Chapter 7 or Chapter 13 may not allow you to fully discharge your debt, bankruptcy can help you manage your other debt and get your student loan debt under control. If you would like to learn more about ways you can deal with student loan debt, contact us for an initial consultation.
At DeLadurantey Law Office, LLC, we help businesses and families find their way out of highly difficult financial situations. We provide the advice and guidance you need in obtaining debt relief through bankruptcy and debt negotiations. We can also assist you in defending a foreclosure action. Contact us at 414-377-0518 to discuss how our Milwaukee bankruptcy attorneys can assist you. Like us on Facebook.