This page was written, edited, reviewed & approved by Emil J. Fleysher following our comprehensive editorial guidelines. Emil J. Fleysher, the Founding Partner, has 15+ years of legal experience as a bankruptcy attorney. Our last modified date shows when this page was last reviewed.
Most people believe student loans can’t be wiped out in bankruptcy—but that’s not entirely true. While it's harder than discharging credit card debt or medical bills, it's possible to have student loan debt reduced or even forgiven under certain conditions.
At Fleysher Law, we help student loan borrowers across Florida explore their options. If you're facing long-term financial hardship and feel stuck with high monthly payments, our experienced team can guide you through the student loan bankruptcy process with clarity and support.
In most bankruptcy cases, student loans aren’t automatically discharged. The bankruptcy code treats them differently from other unsecured debts, like personal loans or medical bills. However, it’s still possible to discharge student debt if you meet specific legal standards.
Both federal student loans and private student loans can be discharged, but the rules differ. The Department of Education backs federal loans and offers programs such as public service loan forgiveness and income-driven repayment plans. These loans are more difficult to discharge but offer additional repayment options.
On the other hand, some private student loan debt—such as loans not used for tuition or living expenses—may be easier to challenge in bankruptcy court. A court may rule that these aren’t protected under the same rules, making them more likely to be wiped out.
To get student loans discharged in bankruptcy, you must show that repaying the loan would cause undue hardship. This is not a simple claim—it requires proving your financial circumstances meet strict court standards.
Most courts use the Brunner Test to decide whether to discharge student loan debt. It has three elements:
You’ll need to present evidence such as income and family size, job prospects, and attempts to make qualifying payments.
Some courts employ a different method known as the Totality of the Circumstances Test. Instead of following strict steps, this approach considers your overall financial hardship and whether your current ability to repay is realistic.
No matter the test, proving undue hardship often requires filing an adversary proceeding—a special lawsuit within your bankruptcy case. At Fleysher Law, we help borrowers prepare strong, detailed cases to meet this burden and pursue debt relief.
To discharge student loans in bankruptcy, you must file something called an adversary proceeding. This is a separate lawsuit within your bankruptcy case, in which you are asking the court to rule on whether your loans should be forgiven due to undue hardship. It applies to both federal student loans and private loans.
You’ll need to provide detailed proof of your financial hardship. This includes your income, monthly payments based on your current loan terms, credit report, and expenses. Medical records, like those documenting a chronic injury, may also support your claim. If you can show you’ve tried other loan forgiveness programs or spoken with your loan servicer about federal student aid, that helps demonstrate your good faith effort to repay.
An experienced bankruptcy attorney is key here. The process is complex, and success depends on how well your case is prepared. At Fleysher Law, we understand bankruptcy and student loans, and we work to help you achieve a partial discharge, full relief, or a fresh start—depending on the bankruptcy judge's decision.
When reviewing student loans in bankruptcy, courts consider several factors to decide if you're eligible for relief. The goal is to determine whether your loans create an unfair burden under bankruptcy law.
Here are the most common factors a bankruptcy judge will review:
Courts don’t follow a one-size-fits-all rule. Every case is different. That’s why Fleysher Law builds detailed, evidence-based arguments to help clients significantly reduce or discharge student debt through the proper legal channels.
No. You can’t file for bankruptcy only for student loans. However, you can include them in a full bankruptcy filing alongside other unsecured debts, such as credit cards or medical bills. The means test will determine your eligibility to file under Chapter 7 or Chapter 13.
The discharge of student loans is handled separately through an adversary proceeding, but it's still part of your overall case. At Fleysher Law, we ensure that your bankruptcy and student loans are handled correctly, so you receive the debt relief you need and achieve a true fresh start.
When it comes to bankruptcy and student loans, both Chapter 7 and Chapter 13 offer potential paths, but they work differently. Neither guarantees your loans will be discharged, but each has advantages depending on your situation.
Feature | Chapter 7 Bankruptcy | Chapter 13 Bankruptcy |
|---|---|---|
Goal | Wipe out student loans entirely | Manage payments through a court plan |
Discharge Possible? | Yes, with undue hardship proof | Not automatic, but possible with extra steps |
Repayment Required? | No, if loans are discharged | Yes, through a 3–5 year repayment plan |
Timeline | Usually 3–6 months | 3 to 5 years |
Covers Other Debts? | Yes – unsecured debts, medical bills, etc. | Yes – can include credit cards, loans, and arrears |
Applies to Federal & Private Loans | Yes | Yes |
Best For | Those with no ability to repay | Those who need time to catch up on payments |
Notes | High bar for discharge; must file adversary proceeding | Newer rules may allow partial discharge |
This table helps readers quickly understand the key differences between Chapter 7 and Chapter 13 bankruptcy proceedings when dealing with student loans.
Chapter 7 bankruptcy offers the chance to wipe out student loans completely, but only if you can prove undue hardship through an adversary proceeding. If successful, you may have your federal student loans discharged, along with other debts. However, the bar for full bankruptcy discharge is high, and the outcome depends on the bankruptcy judge’s evaluation of your case.
In Chapter 13, you won't get an automatic discharge of student loans, but you can include them in a structured repayment plan. This plan lasts three to five years and may reduce or delay payments, especially if you have high interest rates. With recent changes, a new process now allows some borrowers to seek partial relief more effectively under Chapter 13. Fleysher Law helps you determine which chapter gives you the best long-term advantage.
Yes, in some cases. Certain private student loans don’t meet the IRS definition of a “qualified education loan.” If the funds were used for non-educational expenses—such as living costs, exam preparation, or attending a non-accredited school—they may be treated like other unsecured debts.
Recent court rulings have opened the door for more partial discharge of private loans, especially when borrowers can show financial hardship or unclear loan terms. Fleysher Law stays current with legal trends and helps you explore whether your private student debt may qualify for relief.
Yes. When you file for bankruptcy, the automatic stay goes into effect. This stops most collection activity, including student loan payments, wage garnishments, and calls from loan servicers. It applies to both federal and private loans.
Keep in mind—this pause is only temporary. It doesn’t cancel your debt or lower your interest rate. Once the stay is lifted or your case ends, payments may resume unless the court grants a bankruptcy discharge through an adversary proceeding.
Still, this pause gives you time to regroup. You can explore better repayment options, gather documents, and work with Fleysher Law to build your case. It's a valuable window to prepare for the next steps in seeking relief from student loans in bankruptcy.
Discharging student loans in bankruptcy isn’t easy, but it is possible with the right legal approach. At Fleysher Law, we create personalized strategies based on your income, family size, monthly payments, and overall financial situation. We gather strong documentation to show undue hardship, such as medical records, tax returns, and payment history.
We don’t just prepare paperwork—we fight for results. Our team has deep experience handling adversary proceedings involving federal student loans, private loans, and bankruptcy discharge requests. We present your case to the bankruptcy judge using facts, law, and compelling evidence tailored to the court's expectations.
Fleysher Law offers complimentary consultations, enabling you to explore your options with no pressure. If you qualify, we’ll guide you through the new process step-by-step and work hard to help you discharge student loan debt or at least significantly reduce what you owe. You don’t have to go through this alone.
Can I discharge student loans in bankruptcy?
Yes, but only if you meet strict hardship standards. You must prove this through an adversary proceeding filed during your bankruptcy.
Will bankruptcy lower my student loan payments?
Yes. Under Chapter 13, you can include loans in your repayment plan and reduce monthly payments, though interest may still accrue.
Can private student loans be discharged more easily?
Yes. Courts are now more open to discharging certain private student loans, especially if they don’t meet “qualified education loan” rules.
Does bankruptcy affect eligibility for new student aid?
No. Filing for bankruptcy does not disqualify you from applying for federal student aid or using loan forgiveness programs.
Do I need a lawyer to discharge student loans?
Yes. The process is complex and requires presenting evidence to a bankruptcy judge. A lawyer improves your chances of success.
If you’re struggling with student loan debt, bankruptcy may offer relief; however, it's essential to understand your rights and options. Fleysher Law is here to help you understand whether you qualify for full or partial discharge.
We offer a free consultation to review your case and help you take the first step toward a fresh start. Contact us today to speak with an experienced bankruptcy attorney who knows how to achieve results.
Emil specializes in consumer bankruptcy, debt settlement, and mortgage modification, offering a holistic approach to solving mortgage and debt problems. Emil listens to clients, understands their circumstances and goals, and helps them make the right choices by presenting all options and contingencies.
He is dedicated to helping South Floridians regain their financial freedom from overwhelming debt caused by high interest credit cards, bad mortgage loans, and uninsured medical expenses.
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