Student Loan Debt Solutions

Student Loan balances are not automatically wiped out (i.e., discharged) in bankruptcy. New guidance by the Department of Justice (as of November 17, 2022), however, makes eliminating student loan debt more attainable.

The new guidelines provide information to help set expectations of obtaining a discharge of federal student loan debt in bankruptcy and simplify the process. Basically, it must be shown that an “undue hardship” is created by student loan repayment. The new guidance provides a more objective framework for determining whether an “undue hardship” is caused by student loans. Undue hardship generally means that a borrower cannot maintain a minimal standard of living if obligated to repay the loans and the financial hardship is expected to be ongoing.

To obtain a discharge of student loan debt in bankruptcy, an adversary proceeding will need to be filed. Briefly, an adversary proceeding is a lawsuit within a bankruptcy case challenging an issue (the dischargeability of a person’s student loan debt).

A good attorney will know how to use the facts of your situation to help you demonstrate the necessary elements of your undue hardship.

For more information about the business debt solutions that may help you, contact us for a free assessment.

At DiMarco Warshaw, our team provides a range of legal services aligned with our clients’ needs. When you hire us, you will always receive one-on-one client attention and representation that helps you get the best outcome for your legal situation. If you need an attorney in California, contact us at 888-890-5474 to schedule a consultation and get the advice and representation you need.

 

Contact DiMarco Warshaw, A Professional Law Corporation in California Today

Getting the legal help you need is right at your fingertips. Contact us today to schedule a consultation. We will discuss your circumstances, explain your options, and help you determine your next best steps.

 

Expert Lawyer

You can rely on my 30 years of experience to guide you down the best path for resolving your debts.

Fast Support

Resolving your most pressing issues without unnecessary delays is a top priority at our firm.

Real Value

I’m ready to aggressively negotiate your debts, securing reductions beyond what typical “Debt Relief” companies offer — and at a fraction of their cost.

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