Judge includes $100k student loan forgiveness in 35 year old bankruptcy, Biden admin CHALLENGING

[Thavoiceofthevoiceless]

You can literally look this up on the topic of bankruptcy.

I use to counsel clients and speak to bankruptcy lawyers, credit bureaus and fed and private loan providers and it was always no this was never a thing even with the lawyers even

Student Loan Bankruptcy

Student loans are difficult, but not impossible, to discharge in bankruptcy. To do so, you must show that payment of the debt “will impose an undue hardship on you and your dependents.”

Like I said, it's always been possible but difficult to pull, which is why you've rarely heard of it happening over the years

 

[Bubba T]

Bankruptcy itself says it does not cover student loans and if what you are saying is true then why aren’t many people doing it since they have these hardships and why is the Biden crew challenging it.


That literally makes no sense

You have to file an adversarial proceeding in addition to the bankruptcy in the case of including student loans. The bar of discharging loans is much higher than any other unsecured debt as the courts really scrutinize whether you have an “undue hardship”. What that usually entails in the courts eyes is having a debilitating injury or disease that will prevent you from earning money to support yourself and pay your loans. Medical records, doctor opinions, etc is evidence that is taken under consideration. It is not easy to do and this there is a very little success rate.

 

[CrimsonTider]

to....your property, not your paycheck. if you default, they'll take your home and sell it to recoup their loss.

if a person files for bankruptcy, they literally forfeit credit and anything related to borrowing for almost a decade. no one can recoup their loss on a student loan.

in fact, the belief you have about student loans is making millionaires billionaires. the same people that caused the mortgage crisis are about to cause a student loan crisis

SLABS or student loan backed securities are hinging on the idea that people will pay their loans...like how we all assumed people would pay their mortgage and never default or file bankruptcy.

Student Loan Backed Securities (SLABS) - Finance Train

reality doesnt work that way. at some point, people will say fukk it and file bankruptcy to escape student loan debt. when that happens, all hell breaks loose. that's why politicians wont forgive student loans. it isnt because of some moral obligation or capitalist sentimentality; they're making a shyt ton of money off people paying student loans for life.

There’s a very small amount of Student loans under SLAB

the reason that you can’t allow bankruptcy is because

1. no one would pay. Especially high earning degrees like doctors. They will make enough money to not need credit for 7 years

2. you will have a bunch of people taking out loans and not going to school


we need reform and relief, not cancellation. That doesn’t fix anything

 

[Raw Lyrics]

There's one muthaphuka in The Coli, I'm not gonna say his name cuz he knows who he is, was in EVERY presidential thread waving the pom-poms for Biden, I mean every thread.

b*stard has been MIA in these Biden threads since.

He know who he is, now he spends most of his time in the Coliseum.

 

[BaldingSoHard]

but that's the problem breh, folk just came out to get trump outta office. they didn't come out because they like biden. dude don't got a real base, neither does kamala.


i came out for joe the 1st time... but 2024 is lookin like a dem washout.

That's not a problem for me.

My only political opinion is, "fukk Donald Trump".

The democrats could run a sack of wet dogshyt against Trump in 2024, and I'd happily step up and cast my vote.

#Dogshyt2024

 

[Mr. Togo]

Education Department changed their mind:

Biden's Education Department is backing down from its attempt to block a $100,000 student-loan forgiveness court decision for a 35-year-old man

 

[feelosofer]

I always thought if student loans couldn't be discharged through bankruptcy they should be restructured to be paid off in set amount and time frame and the interest frozen.

 

[Son Goku]

I love Republicans.

Ya'll so fukking stupid.

I think almost 100% of the Biden voters on here have echoed a similar sentiment.

And yet ya'll still thnk we worship a demented geriatric white man the way ya'll slobber Daddy Trump's balls.



So let me clear it up... again.

Nobody, and I mean nobody voted for Joe Biden.

Nobody here likes Joe Biden.

Nobody here thinks Joe Biden is a good president .

We all voted against Donald Trump.

And we all will again.

Pretty much this.

fukk I care about student loan forgiveness when I don't even have any and never did?



If he forgave 10 grand for folks and didn't cut me a check for being debt-free I'd low-key be mad.

 

[Charly Wingate]

Best piece of literature that I read regarding student loans and the resistance on cancellation/forgiveness

The Next 'Big Short': COVID-19, Student Loan Discharge in Bankruptcy, and the SLABS Market by Samantha Roy, CJ Ryan :: SSRN

 

[Real]

It’s crazy how ppl can’t file for bankruptcy