• Rebecca Natow

News on Bankruptcy Discharge for Student Loan Debt

Inside Higher Education has a very interesting report today on a recent case where a federal bankruptcy judge ruled that it is possible for a debtor to file for bankruptcy protection with regard to student loan debt, something that has been very difficult to do given the high "undue hardship" standard that has applied to student loan debt since Congress changed the bankruptcy law in 1998. As noted in the article, this decision is part of a trend in which courts have recently begun to lower the bar for what counts as an "undue hardship" when it comes to student loan debt.

From Inside Higher Education: "The issue has risen in prominence as the number of Americans with student debt has grown to an estimated 45 million, with many unable to repay their loans... some judges in the past five years have been taking a more expansive view of the hardship standard to allow bankruptcy, as they find more people coming to court who are unable to pay student loans."

5 views0 comments

Recent Posts

See All

Federal Higher Education Policy Headlines

There's a lot of federal higher education policy in the news today: -- Inside Higher Education reports that the Government Accountability Office is researching companies that assist colleges and unive

Higher Ed to Congress: We Need More Money

Throughout the COVID-19 pandemic, higher education associations in Washington, DC have been asking Congress for stimulus funding. Yesterday, the American Council on Education once again wrote to congr


©2019 by Rebecca S. Natow. Proudly created with