Join East County VETogether on Wednesday June 13 at 6 to 9pm at the new VFW and American Legion Post in Santee. Attorney D.J. Rausa will be presenting on student loan debt and higher education. He specializes in student loan debt resolution and is nationally recognized as an expert in this developing area of law.
Nothing can be more frustrating to a person who needs to restructure their personal finances than their inability to work with the creditors they owe. More often than not, the creditors want far more per month than they can afford. That is when seeking the advice of D.J. Rausa becomes so necessary.
First Come, First Served
If you thought you were out of luck to qualify for the Public Service Loan Forgiveness (PSLF) program because you were enrolled in graduated or extended repayment plans — Congress recently did you a favor.
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.
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.
Student loan Debt has become a crisis in the United States, with many young professionals turning to bankruptcy lawyers seeking relief for crushing Student Loan Obligations. The total outstanding Student Loan Debt has ballooned to over $1.3 trillion, and is only going to get worse.
Last week the U.S. Department of Education announced their latest move to assist some individuals with financially debilitating student loan debt. This part of the Obama Student Aid Bill of Rights, is directed at hundreds of thousands of borrowers who are permanently disabled and cannot work. The Department of Education started sending out letters this week to student loan borrowers that have been identified, with the help of the Social Security Administration, as receiving disability payments and are eligible to have their student loans discharged. This type of student loan relief is known as a “Total and Permanent Disability” loan discharge. There were 387,000 permanently disabled individuals identified, with nearly half of these currently in student loan default, as qualifying with an estimated $7.7 billion in student loans.
The U.S. Department of Education announced, on March 25, 2016, that evidence uncovered in its ongoing investigation of Corinthian Colleges, Inc. indicates that students were defrauded at 91 former Corinthian campuses nationwide and that those students have a clear path to student loan forgiveness. Students in more than 20 states who attended Corinthian's Everest or Wyo Tech schools, now represent the largest group of borrowers eligible for loan relief as a result of the Department of Education's investigation into Corinthian.
San Diego bankruptcy litigation attorney D.J. Rausa uses his knowledge and litigation skills in matters involving tax debts, child and spousal support enforcement actions and consumer bankruptcy. He appears on behalf of clients throughout San Diego and Imperial Counties, advocating for clients in cases involving:
Attorney Rausa advocates for individuals and families consumed by debt after dealing with catastrophic medical bills, job loss, and other factors. Contact him today to discover whether you qualify for debt relief through Chapter 7 or Chapter 13 bankruptcy.
Since 1993, attorney Rausa has provided clients with the legal representation they need to put their financial and legal concerns behind them. Mr. Rausa was one of the first lawyers in San Diego County to shape interpretations of recent federal bankruptcy law changes. He is committed to remaining at the cutting edge of the law and sharing his knowledge of consumer bankruptcy to credit counselors and real estate professionals in San Diego.
During a free initial consultation, attorney Rausa will address your pressing financial concerns and advise you on the new bankruptcy law myths.
Free Initial Consultation * Evening and Weekend Appointments Available