lawmakers, to make private student loans dischargeable in bankruptcy. He observes that private for-profit student loans often lack consumer protections as the loans typically have variable interest rates with no caps, exorbitant fees and hidden charges. The author also debunks the claim of opponents...
That's when student loans come in. You will need to determine whether you qualify for federal student loans or if you'll want to go the private student loan route. There are manyreasons to consider a private student loanif you aren't able to secure a loan through the government. In gen...
"They are far easier to qualify for than private student loans, they have flexible repayment options including income-driven repayment plans, offer forgiveness and loan discharge options, and interest rates are not based on credit — rather by law," says Elaine Rubin, director of communications fo...
Loan discharge also occurs in the event of the student’s death, or the parent’s death if they took a parent PLUS loan. Generally less expensive: For most students, federal student loans are likely cheaper than private student loans. This is especially true for undergraduate students who don...
If total student debt is less than annual income, you should be able to repay your student loans in ten years or less. If you do need to borrow parent or private loans, compare the interest rates, fees and other benefits on both types of loans. Shop around for the lowest interest r...
In order to benefit the most from private student loans you’ll want to be a strong borrower and know that you will be able to repay the loans once you graduate. Here are some qualifications you’ll want to hit before applying: Strong credit (690+ score) or have a cosigner. You’ve...
Unlike federal student aid, which comes from the government, you can get a private student loan from a bank, credit union or online lender. In some cases, you may be able to qualify for a lower interest rate if you borrow a parent student loan from the bank you already use. ...
Can Bankruptcy Discharge Private Student Loan Debt? Bankruptcycan potentially discharge private student loan debt.9Not all borrowers will be able to get their student debt discharged in bankruptcy, however, as it depends on the type of bankruptcy filing, the kind of loans taken out, and each bor...
This Comment will show how granting private student loans the privileged status of being non-dischargeable in bankruptcy skews lenders' incentives. Because private student lenders know that their debts cannot be discharged, they have no incentive to consider a student borrower's ability to repay. ...
In 2005, student loans originated by private companies 鈥 loans granted only to credit-worthy individuals and risk-priced at origination 鈥 were added to the list of educational loans that are presumptively nondischargeable in bankruptcy. Proponents of this change argued that it was necessary to...