Graduating from college represents several years of hard work. Once the diplomas get framed and the graduation gowns and mortarboards are put in the closet, many new grads face the stark reality of having to potentially pay back thousands upon thousands of dollars in student loans. Depending on the field or other economic conditions, finding a job that pays enough to pay back those loans can be difficult. Defaulting on student loans is a brutal way to start a new phase of a person’s life. Are there any student loan lawyers in Augusta, GA? Yes, there are, and they work for the Law Firm of Seymour and Associates. Take a look at some information that could help you get an early handle on your loan repayment before you get into trouble.
How Can an Attorney Help with Student Loan Repayment?
The Government Accountability Office of the United States has estimated that more than half of people with student loan debt are eligible for one or more repayment programs to keep people current on their loans without making financially burdensome repayments. However, only about one-fifth of borrowers apply for these programs.
There has been a lot of news about student loan forgiveness recently. Having $10,000 to $20,000 taken off a loan balance will provide a lot of help for a lot of qualifying people. Although, there are still going to be many borrows with outstanding balances after taking advantage of this one-time benefit. People with remaining loan balances to pay when the pandemic pause is over would do well to make an appointment to speak with one of our experienced student loan attorneys today.
Among the most challenging things about student loans is that they are a rare type of debt that cannot be eliminated by bankruptcy – at least for now, in many cases. However, that is not to say that obtaining student loan relief through bankruptcy is impossible. The borrower will need to do some extra legwork, and they would likely benefit significantly by working with an attorney.
Read More: When Should You File for Bankruptcy?
If someone wants to have their loan discharged through bankruptcy, they must first file an “adversary proceeding.” Basically, the adversary proceeding will help the bankruptcy court determine if repayment would cause undue hardship to the borrower. Some of the other considerations the court may take into account (per StudentAid.gov) include:
- Being forced to repay the loan would make the borrow live below a minimum standard.
- Evidence is shown that the hardship will continue for a ‘significant portion’ of the repayment period.
- The borrower made good faith efforts to make payments before filing for bankruptcy
Even if the court rules that the borrower must continue to make payments and the debt isn’t discharged in bankruptcy, they could still be eligible for various repayment plans.
You don’t have to struggle with student loans. We can help you today. Make an appointment with one of our expert student loan attorneys to see how we can help.