It Just Got Easier to Discharge Student Loans
On November 17, 2022 the Biden Administration announced new guidelines in how federal student loans will be treated in bankruptcy. The goal is to make the process for discharging student loans more consistent, clearer, and more fair.
It appears these guidelines could make it easier to discharge federal student loans in bankruptcy. The effectiveness will depend on how the guidelines are implemented by the Department of Education and Justice, explained John Rao, a staff attorney at the National Consumer Law Center.
It Just Got Easier to Discharge Student Loans
On November 17, 2022 the Biden Administration announced new guidelines in how federal student loans will be treated in bankruptcy. The goal is to make the process for discharging student loans more consistent, clearer, and more fair.
It appears these guidelines could make it easier to discharge federal student loans in bankruptcy. The effectiveness will depend on how the guidelines are implemented by the Department of Education and Justice, explained John Rao, a staff attorney at the National Consumer Law Center.
Curious about how bankruptcy works and if it might be right for you?
The first step is to set up a consultation with an experienced NJ bankruptcy lawyer. Many people are nervous about this first meeting since it involves discussing something as personal as their finances. Please remember that the NJ bankruptcy lawyers at Levitt and Slafkes are here to help you and will not judge you.
How do you decide which bankruptcy attorney is the most qualified and who you can best work with?
Individuals can file bankruptcy without an attorney. This is called filing pro se. Working with a qualified bankruptcy attorney, however, is strongly suggested because bankruptcy has long-term financial and legal outcomes.
Additionally, it is very difficult and takes a lot of time to learn what is necessary to file a Chapter 7 or Chapter 13 bankruptcy without an attorney and issues can easily pop up along the way.
This blog will discuss some of the most common problems that occur when a person files a bankruptcy pro se.
Considerations Before Filing Bankruptcy
If you’re struggling to pay your bills and creditors are taking aggressive collection actions against you, it can be tempting to hire the first attorney you find. However, it is important to understand that selecting your Chapter 7 or Chapter 13 bankruptcy lawyer is one of the most important decisions you can make, so you want to get it right.
Below are 6 things you should look for in a NJ bankruptcy lawyer.
1.Bankruptcy Experience
If you’re struggling to pay your bills and creditors are taking aggressive collection actions against you, it can be tempting to hire the first attorney you find. However, it is important to understand that selecting your Chapter 7 or Chapter 13 bankruptcy lawyer is one of the most important decisions you can make, so you want to get it right.
Below are 6 things you should look for in a NJ bankruptcy lawyer.
1.Bankruptcy Experience
Many small business owners get the financing they need to start their businesses through personal loans, personal guarantees and credit card debt. As a result, many small business owners have to manage large amounts of debt.
As a business owner struggling with debt you may be considering taking a loan from your 401(k) or other retirement account to keep your business afloat. Before you take such an extreme measure, you should speak with a NJ Bankruptcy attorney to understand all of your available options.
As a result of COVID-19, difficulty in hiring, and other economic factors, many small businesses have closed. There are even more businesses that can’t meet ongoing expenses and are taking on more debt to try to stay open.
The hard question a struggling small business owner must ask is whether to try to save their business or close their doors forever.
The following are three factors small business owners like you should consider when trying to decide what to do next.
1) Negotiate with Your Creditors
As a result of COVID-19, difficulty in hiring, and other economic factors, many small businesses have closed. There are even more businesses that can’t meet ongoing expenses and are taking on more debt to try to stay open.
The hard question a struggling small business owner must ask is whether to try to save their business or close their doors forever.
The following are three factors small business owners like you should consider when trying to decide what to do next.
1) Negotiate with Your Creditors
On June 21, 2022 the President signed into law the Bankruptcy Threshold Adjustment and Corrections Act . Among other things the Act increased the Chapter 13 debt threshold to $2.75 million.
Both secured and unsecured debt counts towards this single limit. Previously there were separate limits applied to secured and unsecured debt.