Minnesota Student Loan Bankruptcy Lawyer
Student loans present a financial burden and it is very rare that that the burden can be discharged in bankruptcy. Student loans belong in a group of non-dischargeable debts, such as taxes and child support. This means that when a person’s unsecured debts are discharged, student loans, alimony, child support, and other such obligations remain as they were.
However, there are times in which an individual may be in a financial situation that prevents them from being able to repay their student loans. A serious injury, a major financial change, or another legitimately dire reason may have led to the inability to pay. Unless the debtor is catastrophically injured or not able to work at all, student loan discharge is something that should not be expected.
If you are someone who has student loan debt that you cannot afford and you need to file bankruptcy, it is important that you seek the guidance of an experienced Minneapolis bankruptcy attorney so you can receive the guidance that you need. While student loan discharge is something that does not occur often, it is possible.
Know Your Options
Even when a student loan is in forbearance or deferment, it still has an influence on finances. While no payments are being made, the debt is still considered part of a person’s budget. This makes expenses look higher on paper than what the person may actually be paying each month. The reason for this is because the loan is a future expense that will need to be repaid eventually.
If your loans are not in forbearance or deferment, it is very important that you do something so that your loan doesn’t go into default. If a loan goes into default, the government can retain tax refunds, garnish your wages, deny Pell grant eligibility, withhold federal benefits, or deny future student loan applications. When student loans go into default, debt collectors take charge of the accounts and their fees are very high. This is a situation that becomes stressful, expensive, and it can have a long-lasting effect.
Advice You Can Trust
When you have a Minnesota bankruptcy attorney working with you, there are a number of options that can be explored. You will be informed of each option and then the two of you can work together toward a sound resolution that works for you and your future. If you are absolutely unable to pay your student loans, then it has to be proven to the bankruptcy court that there is no way the loans can be repaid and the reason has to be compelling. Even if the student loan cannot be discharged, it is possible to find a student loan resolution that works, especially after unsecured debts are discharged in bankruptcy. That way you can reach a point where your student loan debt does not stifle your abilities to advance financially.
Contact A Minneapolis Bankruptcy Attorney
If you have student loan debt that you cannot afford and you need to turn to bankruptcy as a way to achieve financial relief, an experienced bankruptcy lawyer can give you the guidance and representation that you need through your bankruptcy and toward the possibility of your student loan debt being discharged. To learn more, call the Buettner Law Group, LLC at 612-377-5311 to schedule a free consultation.