Student Loan Discharges and Cancellations

Student loan debts are one of the more common debts to have, and we are frequently asked whether you can get a student loan discharged or cancelled. The answer depends on what kind of loan you have. If the loan is a private loan, the requirements of qualifying for a discharge are determined by the contract of the loan. You can request a copy of your loan contract by contacting the loan servicing company.If your loan is from the U.S. Department of Education, a federal loan, there are limited circumstances for getting a student loan discharged or cancelled. The two main categories are: (1) there are serious problems with the school you attended, or (2) a disability cancellation.A discharge of student loans based on serious problems with your school requires one of the following circumstances: the school closed while you were enrolled or within 90 days of your leaving, the school owed you a refund and never paid, there were serious problems with the admission process (like you lacked an admission test, required degree or diploma), or a state law at the time would have disqualified you from obtaining a license for that field of student.A discharge based on your disability requires proof from a physician that you are unable to engage in any substantial gainful activity due to a condition that has lasted for a continuous period of 60+ months (5 years) or can be expected to last for a continuous period of 60+ months.If you have student loan debt and would like to consult about your legal options, please contact us today!