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Does Having More Student Loans Allow Me to File Bankruptcy?

Posted on : October 6, 2018

A recent study looked at the experience of people who were attempting to pay off their student loans in order to figure out whether or not there was a geographic connection to the people who had the most challenges paying off their debts. The study explored all of the states around the country and the student loan delinquency rate.

Americans, in general, are accumulating more debt, particularly in relation to student loans. But borrowers in certain states are struggling more than others to pay back these loans on time. You might be facing additional challenges in relation to your student loans largely because of other debts that you have, making it hard for you to get on top of your financial situation. If you find yourself involved in this type of circumstance, you need the support from a bankruptcy attorney immediately. A bankruptcy lawyer can tell you whether or not bankruptcy is recommended for your individual situation and what you can anticipate if you choose to file.

More than 44.7 million people in the United States have student loans, which rounds up to $1.5 trillion in debt. The delinquency rate in the United States is based on the portion of loans that are 90 days overdue. The student loan delinquency rate was the highest in Mississippi and West Virginia, but residents of those states do not have the highest amounts of student debt in the country. If you are buried in student debt and other forms of debt such as unsecured debts, you may be eligible to file for bankruptcy and get relief.

Although you might not be able to discharge all of the student loans on your record, other debts you have accumulated could be fully discharged by pursuing the bankruptcy process. Even if Chapter 7 is not available to you, putting together a repayment plan for Chapter 13 could be your next step in getting the bankruptcy support you need.

 

Posted in : Administrator Tyler