DOJ Announces New Guidance Regarding Bankruptcy Student Loan Discharge (Information)
DOJ Announces New Guidance Regarding Bankruptcy Student Loan Discharge (Information): On November 17, 2022, the Department of Justice (DOJ) announced a new process for handling the discharge of federal student loans in bankruptcy cases. The DOJ's process will help ensure consistency across loan discharges, reduce the burden on student loan debtors, and make it easier to identify cases where discharge is appropriate. Under the guidance, the DOJ will identify, in coordination with the Department of Education, when undue hardship appears to exist, justifying a recommendation to the court that a loan be discharged.
Monday, November 28, 2022