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West Palm Beach Bankruptcy & Business Attorneys > > Bankruptcy Attorneys > 5 Things To Know About New DOJ Guidelines For Student Loan Bankruptcy Discharges

5 Things To Know About New DOJ Guidelines For Student Loan Bankruptcy Discharges


Did you know that the process for discharging student loans in bankruptcy cases changed? In November 2022, the U.S. Department of Justice clarified the new process to assist individuals who may qualify for student loans to be discharged. What do you need to know about the changes that have taken place? Our West Palm Beach bankruptcy lawyers can provide you with more information. The following are five things to know about the new guidelines for student loan bankruptcy discharges.

  1. Student Loans May Be Discharged in Bankruptcy 

You may be able to have your student loans discharged in a bankruptcy case given new guidance from the Department of Justice. According to an article from Inside Higher Ed, the ability for a person to discharge student loans had a “historically low probability of success.”

  1. New Guidelines Do Not Change Underlying Requirement of an Undue Hardship 

The new guidelines do not change the key requirement to have student loans discharged in bankruptcy, which is meeting something known as the undue hardship requirement. In short, you must be able to show that continuing to pay your student loans would create an undue hardship and that you made a good faith effort to repay them in the past.

  1. New Guidelines Do Change the Process 

While the new guidelines do not change the undue hardship requirement, they do change the process. Rather than a complex and lengthy adversary proceeding, much of the information needed to determine whether a debtor’s student loans can be discharged will be obtained from an attestation form.

  1. Debtors Can Expect Less Complexity and Cost with the Attestation Form 

With the attestation form, debtors can expect a significantly less complex and costly process. In the attestation form, the debtor will supply detailed information about their current financial circumstances, information that speaks to their likely future financial circumstances, and information about their previous student loan repayment attempts. The form is streamlined and is 15 pages in total.

  1. You Will Still Need Help from a Bankruptcy Lawyer 

Even though the process has been simplified for having student loans discharged in bankruptcy, you should not assume that the process is so simplified that you can easily handle a bankruptcy case on your own. Whether you are seeking to have your student loans discharged or need assistance having other consumer debts discharged, you will want to seek assistance from a bankruptcy lawyer. Bankruptcy law in the U.S. is extremely complicated, and you will want to have an advocate on your side who has experience handling these types of cases.

Contact a West Palm Beach Bankruptcy Lawyer 

Do you have questions about seeking a discharge of your student loans in bankruptcy, or are you ready to file for bankruptcy now that the new student loan discharge process is in place? You should contact an experienced West Palm Beach bankruptcy lawyer at Kelley Kaplan & Eller today to get started on your bankruptcy case.




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