Scura Law Blog | New Jersey Lawyers

Feel Trapped by Student Loans? Chapter 13 Bankruptcy May Be an Option

Written by David E. Sklar | October 24, 2014

While in all likelihood, your student loans will not be discharged through a bankruptcy proceeding, a chapter 13 bankruptcy may be an option that can help you manage your debt.  Through the chapter 13 bankruptcy, you can put together a plan to allow you to make payments based on your disposable income over the pendency of the bankruptcy.  Any wage garnishments that are ongoing will need to halt immediately due to the automatic stay.  While this will not cause the loan obligation to go away, it can make your life more manageable as you rebuild your finances.  Additionally, you can arrange to cure the arrears that you may have accumulated through the plan, if that is what you want.  You can structure a plan to meet your needs based on your individual situation.

Contact a Lawyer

If you are considering bankruptcy, contact a lawyer so you can be guided accordingly as to what your options are and what option is best for you. The bankruptcy process can be difficult to navigate, so it is important that you have someone representing you who is familiar with the process to make sure everything goes smoothly.

Our lawyers specialize in Chapter 13 bankruptcy, contact us for a free bankruptcy consultation today.