DebtDoc Bankruptcy News Blog

Student Loans

Student Loans (9)

Tuesday, 18 December 2018 16:18

Outstanding Student Loan Debt Reaches Record High

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The student loan debt crisis in the United States has been steadily worsening over the past 10 years. This month the total outstanding student debt reach a staggering high of $1.465 trillion! Data from the New York Federal Reserve indicates that the unrelenting climb in student loan debt shows no signs of slowing.

Friday, 07 December 2018 00:41

Brightwood School Closing

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Brightwood College Students

There can be nothing worse for a student than to have the whole school close down from underneath you, leaving you lost, dazed and confused. Now, it looks like 20,000 students of Brightwood College are locked out of school! Bankruptcy and Student Loan Lawyers like Chris Bush can help you understand your debt relief options and find a solution that best fits your financial situation.

Friday, 14 September 2018 19:42

DeVos’ Tiered Relief for Defrauded Students

The Arkansas Democrat Gazette recently reported that President Trump's administration is granting only partial loan forgiveness to most students approved for help because of fraud by for-profit colleges.

The new administration has adopted a different approach to student loan forgiveness for students defrauded by for-profit colleges. President Trump’s Education Secretary, Betsy DeVos, has rolled out a new policy of “Tiered Relief” in which defrauded students are compensated based on their earnings following completion of college programs.

California Attorney General Xavier Becerra filed a lawsuit accusing student loan processor Navient Corp. of harming consumers by failing to properly service the debts. Navient, one of the nation’s largest student loan servicers, services about $300 billion in federal and private student loans for 12 million borrowers, about 1.5 million of whom live in California.

Improving consumer protections for federal and private student loans to help ease student loan debt is the aim of an amendment to the Economic Growth, Regulatory Relief and Consumer Protection Act introduced March 8 by Illinois Senator Dick Durbin. It includes a Student Loan Borrower Bill of Rights as well as some bankruptcy protections.

The National Association of Consumer Bankruptcy Attorneys (NACBA) has learned from a number of its members that the Department of Education (DOE) and its student loan servicers are kicking out bankruptcy debtors from their income-driven repayment plans. This is happening when debtors file Chapter 7 or Chapter 13 — even if they are current on their student loan repayments.

Thursday, 19 October 2017 04:10

Federal Student Loan Defaults Climb

If you have defaulted on your federal student loan — you are not alone. According to a September 2017 article in the Washington Post, “the share of people not making payments on their federal student loans within three years of leaving college has risen, reversing five years of reported declines in new defaults.”

The shift is subtle — up to 11.5 percent from 11.3 percent from 2015 to 2016 — but the raw numbers show what a significant issue this is. Of the more than 5 million people who began repaying their student loans in October 2013, 580,671 defaulted.

An important factor that sets student loan debt apart from all other kinds of debt is that it’s just about impossible to rid yourself of it. Even borrowers that end up in such financial burdens file for bankruptcy and struggle to get a fresh start void of their student loan debt.

But a few cases working their way through the legal system could alter that. They increase the possibility that the courts might offer a loose definition of how difficult the borrower’s financial situation is before a bankruptcy judge can justify discharging his or her loans.

Thursday, 14 May 2015 00:00

Student Loan Resolution

Defaulted Student Loans? The clear path to Default Resolution

According to The Consumer Financial Protection Bureau, there are 8 million student loan borrowers in default.*  If you are one of those, you may be asking yourself , How did I get here?

My experience with working with those clients who have student loans has shown me that student loan default could have been avoided had their servicers been forthright with the information they needed to prevent default, and options for student loan default resolution. In the majority of cases that I have seen, the services play hide and seek with vital information, leaving the student loan borrower confused.

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Auto Loan Delinquency Rising

Late Car Payments?

The number of people 90 days late in car payments approaching peak levels since the subprime crisis of 2010.

If you’re late on your car payments, come in for a Chapter 13 consultation!

Compassionate. No-nonsense. Great job. Saved me $85K!

I had three choices: two large groups, or DebtDoc. I chose DebtDoc because of their numerous excellent reviews from clients as well as other attorneys. Also, I wanted someone to provide personal service and have a vested interest in my difficult student loan case.

I certainly made the right choice. DebtDoc's attorneys personally answered two of my phone calls and regularly answered my emails, even on one Sunday evening.

After 30 years of student loan "prison", he got me freedom AND he even got the US Dept. of Justice to dismiss 25% of my loans, which saved me $85K.

I feel like I have a new lease on life because of DebtDoc. I wish I could recommend 10 stars.

Client Testimonial

To whom it may concern,
DebtDoc's attorneys are extremely knowledgeable with the complexities of Federal Student Loans.
I went from a thriving career to full medical disability, ending with an SSDI placement. Unfortunately, I lost everything and became unable to continue making the student loan payments, so it was in deferment for over five years. When the SSDI settled I tried to negotiate an affordable payment plan with the loan holders but they refused my efforts, instead demanding over twice the amount I could afford.
I contacted DebtDoc and found them to be courteous, responsive and quick to assess my situation. They were sure they could help and took time to answer all questions, which relieved much anxiety. Within months they successfully resolved the debt! With much confidence, I highly recommend DebtDoc.
Sincerely,
 CJWaldenSignature
CJW