Getting Student Loans Discharged Through a Chapter 7 Bankruptcy Action
By : Alex Category : Legal
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Millions of people are up to their necks in student loan debt. Most of them will spend the next fifteen years trying to pay the debt back, and that is if their jobs hold out. Nothing is certain in today’s economy. If you are a Tennessee resident who is trying to eliminate your student loans through bankruptcy, then you need to make an appointment with a chapter 7 bankruptcy attorney in Knoxville who can counsel you on what it takes to discharge these loans. The biggest problems with discharging these loans is that the counseling session that is required to get the loans states that the loans are non-dischargeable in bankruptcy. According to the federal bankruptcy code, student loans can only be discharged if the debtor can prove undue hardship. This is very difficult to do, and certain stipulations must be met.

How to Discharge a Student Loan in Bankruptcy

In order to prove undue hardship, a debtor has to prove that they are in dire financial straits, and that paying their student loans wouldn’t allow them to take care of the basic needs of their family. They must also prove that their situation is unlikely to change for one reason or another. The debtor must also prove that they made an honest effort to pay the debts back. Some bankruptcy courts are more lenient in determining that a person is actually under hardship, but it is still hard to prove nonetheless. Thirty years ago people were allowed to discharge the debts easily in bankruptcy, but lenders cried foul that students were taking advantage of the system. This is what prompted the law changes. Getting student loans discharged will require a hearing before the bankruptcy judge, but you should not hold out too much hope because most people that try it are not successful in discharging the loans.

Hiring an Experienced Bankruptcy Attorney That Specializes in Student Loan Discharges

To even attempt to get the student loans discharged, your bankruptcy attorney will have to specifically petition the court to pardon the student loans. This will be in addition to your regular chapter 7 bankruptcy petition. It could take a couple of months to get a court date after the petition is filed. Not all bankruptcy attorneys will deal in student loan discharges, so you need to find one that specializes in getting rid of these loans. They will know of any law changes, and they will know how the bankruptcy court in your jurisdiction sways towards these cases. This could help them put a good strategy in place if they are aware of the courts reaction to people who are trying to discharge student loans. An experienced attorney could be extremely beneficial to your case.


The Law Office of Brent S. Snyder deals with chapter 7 Knoxville cases. This law firm also deals with any type of case that relates to debt or consumer protection.








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