Student Loan Relief Through Bankruptcy Is Likely

Unlike most debts, student loans generally do not get discharged in Bankruptcy. The legal standard in undue hardship, meaning that the person must show inability for anything more than bare survival. It appears that, for US government loans, an easier interpretation of the standard will be applied. While the final rules are not yet in place, it bears watching since, for the first time in 20 years, real student loan relief may be available through the Bankruptcy process.