St. Louis Bankruptcy Lawyers Blog
Unfortunately, no. The current rules in the bankruptcy courts state that student loans (although unsecured debt) cannot be discharged. However, there are a few options that are available through the courts system to give you some relief.
ST LOUIS CHAPTER 7 BANKRUPTCY FEES START AT $675
Let’s say you have tens of thousands in student loans. Let’s further assume that each one of those lenders is wanting you to pay several hundred per month in a repayment plan. And after you take a look at your finances and budget, you realize very quickly that you cannot afford these payments at all. You have already gone through all the deferments that the government will allow, and the student loan companies are not willing to grant you a hardship to reduce the total amount owed.
If you are unable to make the payments that the student loan companies are demanding, they can garnish your wages administratively. In other words, student loan lenders need not go through the normal process of suing you for breach of contract and getting a judgement from the court before garnishing your paychecks. They just simply inform your payroll department that up to 25% of your earnings will be deducted and sent straight to them.
ONLY $300 DOWN FOR A ST LOUIS CHAPTER 13
So what do you do?? One option is a St. Louis Chapter 13 bankruptcy. This type of bankruptcy is described as a repayment plan, but very often the unsecured creditors (a student loan is nothing more than an unsecured debt) are not paid out any funds during the course of the repayment plan. This mean that while you are inside of a Chapter 13, you do not have to pay the student loan companies anything at all. A St. Louis Chapter 13 can be established to run for three (3) to five (5) years. So for the next three to five years, you will not have to worry about the student loan companies breathing down your neck!!
LET US HELP YOU GET RID OF YOUR DEBTS!!
In addition to putting the Missouri student loans on hold, the Missouri Chapter 13 will also allow you the opportunity to repay any outstanding tax debt, back child support, mortgage arrearage, and car loans (at a much lower interest rate).
The affordable St. Louis bankruptcy attorneys at The Bankruptcy Company have been saving and protecting people’s assets for years. Our goal is to make sure that you keep the assets and property you want, discharge the debts that you want to get rid of, and do it all at an affordable cost to you. All phone conversations and office consultations are free of charge.