In New York City Attorneys typically do have many options regarding dissolving student loans. In order to discharge student loans through bankruptcy a hardship must be shown. A totality of the circumstances test must be met. For instance, if a debtor incurred debts for a college that was not accredited and therefore cannot gain from the degree attained there is a chance of showing hardship. Another situation is where a debtor has a severe handicap that will make it impossible for her to use the degree or the student loans were fraudulently induced. There is legislation moving through congress which would make private student loans dischargeable. Once this happens the face of Bankruptcy will change dramatically. Similarly, lenders will not give out student loans after such legislation is enacted. In a Chapter 13 Bankruptcy student loans can be discharged.
If you are considering bankruptcy and live in New York City you should meet with an experienced Bankruptcy Attorney. If you call my office at 212-244-2882 I will schedule a free, no obligation debt relief consultation. Mention this blog and I will pay for your 3-bureau credit report and both of your bankruptcy courses if you decide to retain my office. ($500 initial retainer is due additional costs and fees may be applicable. Payment plans accepted.)