With the increasing cost of college current college graduates are in more debt than ever before. A Chapter 7 bankruptcy or a Chapter 13 bankruptcy generally will not discharge student loans. Let me phrase that a different way, presently it is almost impossible to discharge student loans in bankruptcy. The case law is currently so harsh that even a debtor who was in a wheelchair and had no use of his arms and legs could not discharge their student loans. Discharge of student loans in bankruptcy requires an adversary (a separate lawsuit to determine dischargeability) and as an experienced Chicago bankruptcy lawyer I can tell you that it is nearly impossible to win that type of adversary and discharge your student loans.

However, if you have a significant amount of student loans you can restructure the payments in a Chapter 13 in Chicago by consolidating all of your payments into one payment. Or with a Chapter 7 in Chicago, you can wipe away all dischargeable debts and concentrate on paying your student loans after the bankruptcy discharge. Bankruptcy is a viable option for a person who has significant student loan debt and who is even in default on their student loans. As a Chicago bankruptcy attorney, I have helped numerous clients get of debt. Please call my office for a free consultation at 312-489-8182!

Marc Wagman

Attorney at Law