How Can DebtStoppers Help You With Federal Student Loan Forgiveness?
Do you feel like you are drowning in student loan debt? Are the payments taking all of your spare income each month and leaving little for other essentials? If so, it’s not surprising. Nearly 43 million Americans owe over 1.6 trillion in student loans, causing many to refer to the situation as a full-blown crisis.
If you are one of the countless Americans who is buried in education debt, DebtStoppers is here to help. While federal student loan forgiveness programs are extremely limited, recent changes to U.S. bankruptcy guidelines have opened the door for more people to obtain relief from their overwhelming debt.
Even if you have explored this option in the past and been rejected, you may qualify for relief under these new policies. Talk to a knowledgeable attorney today to learn more about your options for student loan discharges.
What is Student Loan Forgiveness?
Many people confuse loan forgiveness, in which the federal government wipes out the debt of borrowers who meet certain criteria such as working in public service for 10 years, with discharging education loans in bankruptcy. Although the latter is not technically considered “forgiveness,” loans that are discharged do not need to be repaid.
Until very recently, it was nearly impossible for individuals to discharge their student loan debts in bankruptcy. However, recent updates to the Department of Education’s guidelines have made student loan relief more accessible for struggling Americans.
How Can DebtStoppers Help You?
Successfully discharging your education debt is far from guaranteed. Due to the demanding legal standards involved, bankruptcy may not be the best choice for everyone. That’s why it’s essential to get help from an experienced law firm like DebtStoppers.
One of our lawyers can review your financial situation and help you determine the likelihood of successfully discharging your student loan debts. Even with the recent changes to the student loan discharge process, only people who can prove that paying their student loans would be an “undue hardship” will be eligible for bankruptcy forgiveness. Therefore, you’ll need counseling from an experienced legal professional to determine the right option for you.
Crafting a Strategy
Additionally, DebtStoppers can develop a strategy for attempting to discharge your loans. To do so successfully, you will need to show that you will suffer undue hardship if you do not receive forgiveness by providing three elements:
- You currently cannot afford to pay your student loans.
- Your inability to pay is likely to continue in the future.
- You have made a good-faith effort to repay your debt.
Your lawyer will review your financial circumstances and carefully craft a legal strategy for obtaining debt forgiveness.
Executing the Strategy
In these proceedings, your attorney will seek to prove that you will suffer undue hardship if your student loans are not discharged. The updated guidance from the Department of Justice and Department of Education has clarified what the government will be looking for when deciding if you meet the criteria. If you partner with DebtStoppers, your attorney will strategically gather and present evidence about your past, present, and future financial situation in order to satisfy this standard.
Mistakes To Avoid with Student Loan Forgiveness
Attempting to discharge your loans in bankruptcy is not an easy endeavor, even with the recent rule changes. The worst mistake you could make is to try to do it on your own without the assistance of an experienced attorney.
If you are looking for a solution to your financial problems, contact DebtStoppers today< to set up a free debt analysis with one of our skilled attorneys. We will review your circumstances and make recommendations as to the best options for forgiveness.