student loan debt

The Student Borrower’s Bankruptcy Relief Act Would Make It Easier to Wipe Out Student Loan Debt in Bankruptcy

Posted on by Admin

Discharging student loan debt in a bankruptcy case has been an almost impossible feat for most filers. That is, unless they are able to meet the undue hardship requirements.  However, a new bill named the Student Borrower’s Relief Act of 2019 could potentially remove those roadblocks that have prevented borrowers from receiving relief in the past.

Bankruptcy offers the filer a fresh start where the individual can rid himself or herself of financial burdens that have been weighing him or her down for years. These debts normally include unsecured debt, including credit cards, personal loans or medical bills. However, if the bulk of the person’s debt is student loans, the filer would normally end up in the same situation even after the bankruptcy was over. While medical debt and credit card debt may have been discharged, the borrower would end up still carrying a large amount of debt. It is for this reason that many borrowers might avoid bankruptcy, seeing it as a no-win situation.

student loan debt

Trump Administration Takes Cancer Patient to Court Over Student Debt

Posted on by Admin

The Trump Administration is taking legal action to keep a former Argosy University student with cancer from having his federal student loans canceled after the school’s closing.  The chain of for-profit schools closed, leaving thousands of students with massive student loan debt and no degree.

The student, Robert Armour, attended Argosy University for his doctorate degree in psychology. He took a leave of absence from his program to undergo treatment for his advanced colon cancer. During this time, the for-profit school shuttered and the campus closed.

Medical Debt

Tips for Dealing with Medical Debt Collections

Posted on by Admin

Medical debt affects so many Americans. After suffering a serious injury or illness, it can be hard to pay the bills that will inevitably follow. In fact, more than 137 million Americans say they are struggling to pay their medical debt. According to a study published by the Journal of Internal Medicine, this many adults have faced some type of medical financial hardship in the past year.

When someone is sick or injured, it will often cause them to miss work or they may not be able to return to work ever again. Due to the loss of income and oftentimes the loss of insurance, the person will struggle to pay their medical bills when they become due.  Their financial situations can get so out of control that many of these individuals are forced to dip into their retirement savings prior to reaching retirement age to pay off some of their bills. However, pulling savings early will only help so much, which is why so many consumers end up filing for personal bankruptcy as a result. It is reported that 66.5 percent of all personal bankruptcies are related to some type of medical debt.

student loan debt

1,500 Former Students Will Receive Student Loan Debt Forgiveness by the Department of Education

Posted on by Admin

At least 1,500 former students from two closed for-profit schools will have their student loan debt forgiven following an investigation from the Congressional committee, as well as a class-action lawsuit.

The schools involved are the Art Institute of Colorado and the Illinois Institute of Art. These two schools followed several other for-profit college chains involved in similar scandals. The fallout began with Corinthian Colleges filing for bankruptcy in 2015 and ITT Educational Services closing one year later. Another for-profit institution, the Education Corporation of America closed in late 2018, leaving students who were attending the institutions with nowhere to go and thousands of dollars in student loan debt.

Bankruptcy Law, Debt Relief, Medical Debt

How the Insured Fall into Medical Bankruptcy

Posted on by Admin

There was a time when having health insurance was enough to assure someone that his or her medical expenses would be adequately covered and that he or she would not fall into debt due to one major medical crisis. However, today’s high deductible insurance plans and skyrocketing medical costs have made it impossible to stay out of medical debt. It is for this reason that so many American consumers are falling into what is called “medical bankruptcy” or bankruptcy due to medical debt.

According to a study published by the American Journal of Public Health, 530,000 bankruptcies are filed annually due to medical debt. Even with coverage offered through the Affordable Care Act, consumers are still struggling to afford their medical bills. A lot of this has to do with the insurance coverage options and healthcare plans offered.

Foreclosure Defense, Foreclosures

Foreclosure Scams to Beware of

Posted on by Admin

When someone is at risk of losing his or her home, that person may be willing to take any offer, even one that sounds too good to be true. Many foreclosure scams exist, built on false promises and deception. It is important that consumers be aware of these scams and recognize the red flags in advance.

While the types of foreclosure scams vary, they do have one thing in common. They are built on false promises, and prey on financially distraught homeowners who fear losing their homes. These companies swoop in and take advantage of someone when they are at their most vulnerable and are desperate for any type of assistance.

Bankruptcy Law

Can Filing for Bankruptcy Save My Home?

Posted on by Admin

When someone is facing the possibility of bankruptcy, the thought of losing his or her home is a very real and frightening one. However, the protections of the bankruptcy automatic stay can help the filer protect his or her home through a Chapter 7 or Chapter 13 filing. The key to this protection rests heavily on the type of bankruptcy filing and the filer’s financial situation. The bankruptcy automatic stay also offers filers who are facing a multitude of collection calls relief from their creditors, protect them from lawsuits, wage garnishment, repossession, and losing valuable property.

As soon as the bankruptcy petition is filed, the automatic stay goes into effect. After this point, creditors and debt collectors are legally barred from attempting to collect on any debt owed by the filer.

Foreclosure Defense, Foreclosures

Steps to Take to Keep Your Home and Avoid Foreclosure

Posted on by Admin

When someone is facing a difficult financial situation, one of the main concerns that person may have is losing his or her home. If a person is not able to pay day-to-day expenses, one of the biggest bills that will go unpaid is the mortgage bill. However, if the mortgage is not paid on time for more than 180 days, the lender may decide to proceed with a foreclosure action. The key is to respond quickly to avoid losing your home through foreclosure.

student loan debt, Student Loans

The Presidential Candidates Campaign Proposals for Student Loan Debt

Posted on by Admin

One of the major issues at the center of the 2020 Presidential Election is student loan debt, an issue that affects 44 million American borrowers. Each of the Democratic presidential candidates have his or her own proposal on how to handle this massive issue that seems to be growing every year. Some of these plans would reduce the outstanding balances borrowers hold while others call for a complete elimination of the debt.

It is said that student loan balances have surpassed credit card debt and auto debt. The average undergraduate college graduate leaves school with at least $30,000 in student loan debt, which is triple what graduates had in the 1990s. Every day, 3,000 borrowers go into default on their student loans, which is why all the candidates are calling for some level of reform.