Due Course for Undue Hardship? How Chapter 13 Could Alleviate a Possible Student Debt Crisis

By Garett Franklyn, 2016 J.D. Candidate

Student loan debt has ballooned in recent years, rising to $1.11 trillion in 2014, a $125 billion increase from 2013. 1 The increasing size of student loans is taking a similar form as the mortgage crisis, in which debt payment replaced consumer spending, stagnating the greater economy. 2 Chapter 13 bankruptcies can be a viable option to debtors saddled with student loans because they allow debtors to pay creditors based on future income, instead of through liquidating the debtor’s assets. Initially . . .

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