Will my student loans be discharged?

It is usually very difficult to discharge student loans and generally only attempted in extreme circumstances. If you file Chapter 7 or Chapter 13 bankruptcy, you may have your loan discharged in bankruptcy only if the bankruptcy court finds that repayment would impose undue hardship on you and your dependents. This must be decided in an adversary proceeding in bankruptcy court. Your creditors may be present to challenge the request. The court uses this three-part test to determine hardship:

  • If you are forced to repay the loan, you would not be able to maintain a minimal standard of living.
  • There is evidence that this hardship will continue for a significant portion of the loan repayment period.
  • You made good-faith efforts to repay the loan before filing bankruptcy (usually this means you have been in repayment for a minimum of five years).

Your loan will not be discharged if you are unable to satisfy ANY ONE of the three requirements.



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Marion Office

101 E. Deyoung St.
Marion, IL 62959
618-997-5262

Carterville Office

144 South Division St.
Carterville, IL 62918
618-985-5262

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