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Can I Discharge My Private Student Loans in Bankruptcy? Not Likely!

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If you are considering filing for bankruptcy, you are certainly not alone as hundreds of thousands of others will file in 2019. And although statistics show that the numbers have declined in the past couple of years with 779,828 bankruptcy filings in 2018, student loans continue to push more and more consumers into bankruptcy and now make up around 42 percent of consumer debt; ironically though, the student loans themselves cannot be discharged in most cases—whether privately funded or taken out through the federal government.

Medical bills are the most common reason for bankruptcies, but the weight of a massive student loan can affect you in every part of your life, even delaying you from getting married or buying a home. Many borrowers, especially younger ones, may find themselves working just to pay off their student loans, and this goes for graduates, non-graduates, as well as those who may have even attained higher levels of education such as the Master’s or Ph.D.

High, continuing balances may completely deplete a borrower’s finances and even wipe out savings as they attempt to preserve their credit, but once there is not enough income to pay the bills, filing for bankruptcy may be the best choice to get back on track—and in many cases Chapter 7 is the best plan, depending on eligibility. Chapter 7 usually only allows unsecured debts to be discharged (within three to six months), but this may be enough for you to be able to get back on track—even if the student loan is still present.

To see any student loan discharged in bankruptcy, you would need to prove hardship, and convincing the court of that may be a serious hardship in itself with the responsibility on you to prove through extensive documentation that you are unable to sustain even the most basic of lifestyles; however, with the help of a skilled student loan debt attorney from a firm like Fitzgerald & Campbell, APLC you can examine your best options, whether that is in settling a debt or collections lawsuit with a private loan servicer, or even just weighing your options regarding whether to default or press forward otherwise.

Speak with an attorney from Fitzgerald & Campbell, APLC as soon as possible to examine your options. Our attorneys have decades of experience in serving clients as they navigate through challenging financial situations, to include student loan issues, bankruptcy, and other debt management processes. We are here to help! Click here to schedule a free 30-minute consultation, call us at (844) 431-3851, or email us at

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