Student loan debt is a crushing burden for millions of Americans. For many, it’s the single largest debt they carry—often more than their credit cards, car loans, or even their mortgage. Unfortunately, student loans are among the most misunderstood types of debt when it comes to bankruptcy.
If you’re overwhelmed by monthly payments, facing default, or struggling with other debts on top of student loans, you might be wondering: Can bankruptcy help me with this?
The answer is: Maybe. Student loans are harder to discharge than most debts—but not impossible. And even if your loans can’t be wiped out entirely, bankruptcy may still offer other financial relief that makes your situation more manageable.
In a typical Chapter 7 or Chapter 13 bankruptcy, unsecured debts like credit cards, medical bills, and personal loans are routinely discharged. But student loans are treated differently under the law.
To discharge student loans in bankruptcy, you must prove that repayment would cause undue hardship—a standard that is notoriously difficult to meet. That said, courts are increasingly open to reevaluating student loan discharge requests, especially as debt burdens grow and financial situations become more dire.
To discharge student loans, you must file a separate lawsuit within your bankruptcy case called an adversary proceeding. In that proceeding, you must show that paying back your loans imposes an undue hardship on you and your dependents.
While the criteria can vary slightly depending on the court, most use the Brunner Test, which has three parts:
This is a high bar—but not impossible. More courts are recognizing that burdensome loans, especially from private lenders or predatory institutions, can create genuine hardship.
Both federal and private student loans are theoretically dischargeable—but in practice, courts tend to be more sympathetic to private loans, especially when:
A skilled bankruptcy attorney in Wilkes Barre can help you gather documentation and build a case for undue hardship, if appropriate.
There are still reasons to consider bankruptcy if you’re drowning in other debt:
In other words, bankruptcy can’t always erase student loans—but it can help you manage the total burden.
“You can never discharge student loans.”
False. It’s difficult, but courts are more open to it than in years past—especially with private loans.
“Bankruptcy will ruin my credit forever.”
Not true. Many people rebuild credit quickly after bankruptcy, especially if they stay current on remaining debts.
“I don’t qualify for hardship—I’m not destitute.”
You don’t have to be homeless or unemployed. If your income doesn’t allow for both basic living expenses and loan repayment, you may qualify.
Discharging student loans requires strategic planning, strong documentation, and deep knowledge of bankruptcy law. A bankruptcy lawyer in Wilkes Barre will:
This isn’t a process you should try to handle alone. The right legal guidance can significantly increase your chances of a favorable outcome.
Student loans can feel like a lifetime sentence, but they don’t have to define your future. Whether you’re hoping to discharge your loans or simply make your debt more manageable, we’re here to help.
At JPP Law, we believe everyone deserves a second chance. Our team has helped individuals across Wilkes Barre and Northeastern Pennsylvania navigate complex bankruptcy cases—including those involving student debt.
Contact us today to schedule a free consultation with an experienced bankruptcy attorney in Wilkes Barre. We’ll help you understand your rights, evaluate your options, and move toward a future where your student loans don’t control your life.
