Consolidating private loans into federal loans

22-Feb-2018 00:30

consolidating private loans into federal loans-63

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While Chapter 7 does provide you some major relief when it comes to getting rid of debt, it might not do much for you in regards to student loans.Student loans are one type of debt that can be very difficult to get discharged in bankruptcy.It is theoretically possible to have all of your debts wiped out except for your student loans when you file for bankruptcy.Although it is difficult to get your student loans discharged through a Chapter 7 bankruptcy, it is not impossible.For instance, if you have a 30 year repayment period on your loans, you’ll need to show that your financial situation could not improve over the next 15 years.So what exactly constitutes an undue hardship when it comes to getting your student loans discharged?

You also have to show that you tried to repay the loans in good faith when you initially got them.

You also have to be able to show that your current circumstances will persist for an extended period of time.