SHOCKING THINGS STUDENT LOAN LAWYERS SAY
As you may know, student loans are difficult to discharge in bankruptcy because the debtor is required to prove that the loans present an undue hardship before the court can grant discharge. For most debtors, this means that the student loans are non-dischargeable.
For the few brave souls who attempt to discharge the student loans, they can expect vigorous push back from the lenders.
A recent Wallstreet Journal article cited at least five things that lawyers representing student loan companies will ask a debtor attempting to discharge student loans.
Can you afford your kids?
Do you have to take those medications?
Can you jailed husband chip in?
Why not get a better job?
The first question seems rather appalling and attacking the debtor’s personal choices about family. The judge in that case rightful disagreed with the student loan lender and held that that student loans were dischargeable.
Secondly, some of my older clients are on multiple medications with varying co-pays that sometimes add up to hundreds of dollars. Attorneys for student loan lenders see these co-pays as accessible funds that can be used to pay off student loans and will attack prescription costs. This is another galling thing, but this is the world we live in.
The jailed husband question is probably the most palatable.
Finally, asking a debtor to get a better job seems just insulting. Most debtors I know are hardworking individuals trying to stay above water. If they could get a better paying job they would jump at that opportunity no questions asked. They are actively seeking to better their lives but between kids and bills making that next leap is next to impossible.
If you are considering bankruptcy and have significant student loans be sure to ask your attorney about dischargeability. It is not an easy fight, but it can be done.
As always, this is a brief overview of a complex legal issue and you should consult a knowledgeable bankruptcy lawyer before taking any action.
Joseph K. Githuku
9407 Harford Rd
Baltimore, MD 21234