You may have heard that Americans owe trillions of dollars in student loan debt. You probably know that young people are postponing buying houses, starting families or going on to graduate school because of their loan payments. Some even return to live in their parents' homes because the debt makes it impossible to live on their own.
For people who are not able to pay all of their bills, bankruptcy can provide a way to get a fresh financial start. A large number of Americans have enrolled in higher education and the student loans they have had to take out in order to pay for their education can take up the vast majority of their income. This can be especially true once they have to begin making student loan payments. In situations like these, one might wonder if bankruptcy will provide relief from student loan debt as it would other forms of debts.
If you are having difficulty repaying your student loans, you are not alone. Student loan debt is one of the most serious financial problems affecting young workers. While student loans are generally not dischargeable when filing bankruptcy, there are exceptions. Even if you cannot discharge the loan, bankruptcy may still provide you with debt relief.