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Student loan debt and bankruptcy may interest Tennessee residents

On Behalf of | Jul 16, 2015 | Debt Management, Firm News

Though many Tennessee residents may have hopes of going to college or utilizing the degrees that they have already earned, those hopes could potentially be tainted by the idea of student loan debt. Such debt can plague individuals long after graduating, and parties can have a difficult time paying back such loans. For individuals who are in tight situations due to similar circumstances, information regarding bankruptcy and student loan debt may be of interest.

There are some situations in which student loan debt may be discharged. This type of situation could come about if it is determined what the debt is causing an undue hardship on the debtor. However, proving undue hardship can be difficult, though certain factors can play a role in debtors’ circumstances being taken under this consideration.

Certain health concerns are one factor to be considered. Individuals who have faced considerable health changes since the debt had been taken on may have cause to petition for undue hardship. Similarly, veterans who are determined to be unemployed due to injuries or other disabilities that were acquired due to their military service may have a chance of having student loan debt discharged. Aside from health factors, age, time frames and other financial aspects could also be noted.

Student loan debt makes up a considerable amount of debt that individuals hold across the country. This debt can become overwhelming just as other forms of debt can, and Tennessee residents may not know what steps to take to get a handle on the situation. Luckily, information on bankruptcy may help individuals determine how they might be able to work toward more secure financial footing.

Source: The Huffington Post, “Department of Education Reaches Decision About Student Loans and Bankruptcy“, Steve Rhode, July 9, 2015