WORLD FUTURE FUND
http://www.worldfuturefund.org

INTRODUCTION    DESCRIPTION    CITIZEN GUIDES    READING LIST    SITE INDEX

  REPORTS    NEWS    MULTIMEDIA   SEARCH    HOW TO CONTRIBUTE    HELP WANTED

   VOLUNTEERS    GRANTS    PUBLICATIONS PRINCIPLES    COPYRIGHT NOTICE    CONTACT US 
 

  RIGHTS FOR STUDENT DEBTORS

TIME TO BREAK THE CHAINS!

ALL STUDENT DEBTORS MUST GET
THE RIGHT TO BANKRUPTCY PROTECTION!


Student debt is now emerging a major financial crisis in America.    Consumers now owe more on their student loans than their credit cards.   Student loans outstanding today — both federal and private — total some $1.4 trillion

Unfortunately, student debt is the only form of US debt that cannot be relieved by bankruptcy

While student loan debt was dischargeable in bankruptcy prior to 1978, the US Bankruptcy Code of 1978 made an exception for bankruptcy discharge of education loans  This law which was strengthened as recently as 2005 with the Bankruptcy Abuse Protection Act. (Finaid  The fact that these loans are not dischargeable through bankruptcy is a uniquely harsh measure that even gambling and credit card debt is not subject to.

It is time to change the law so that students can declare bankruptcy on their debt.

Want to Help Struggling Student Loan Borrowers? Start with Bankruptcy Reform (Demos, 5-31-17)

Bankruptcy Reform Bills in Congress:

H.R.2366 - Discharge Student Loans in Bankruptcy Act of 2017  Sponsor: John K. Delaney (D)    NACBA Response   Credit Union Times Review of Bill

This bill amends the federal bankruptcy code to permit a borrower to discharge in bankruptcy a nonprofit, government, or private student loan, or an obligation to repay an educational benefit, scholarship, or stipend.

This is the only bill that gets the job done, covering government and private loans.

S. 1262 - The Fairness for Struggling Students Act of 2017 Sponsor: Richard Durbin (D)    NACBA Response

An act to give private student loans the same treatment as nearly all other forms of private unsecured debt.

H.R.137 - Stopping Abusive Student Loan Collection Practices in Bankruptcy Act of 2017  Sponsor:John Conyers, Jr. (D)

This bill amends the federal bankruptcy code to allow an individual whose student loan debt is discharged due to undue hardship to recover court costs and attorney's fees for the discharge proceeding if the court finds that the position of the creditor opposing the discharge was not substantially justified.

Sen. Kamala Harris (D) supports bankruptcy reform for some debts, free community college, and undocumented students' access to higher learning. Freedom to Learn aims at the abusive debt system.


New questions about potential illegality by Navient, the main servicer of student loans.   See the CNBC article here.

Official notice.


SEE OUR MAIN PAGE ON STUDENT LOANS


THE HUMAN SIDE OF THE CRISIS

Default: the Student Loan Documentary (Broadcast Version)


Bankruptcy Questions:

FinAid.org - Bankruptcy Questions


Student Loan Finance Reform:

S.1162 - Bank on Students Emergency Loan Refinancing Act  Sponsor: Elizabeth Warren (D)  Cosponsor: Richard Durbin (D) and 36 others

This legislation would allow those with outstanding student loan debt to refinance at the interest rates offered to new federal borrowers in the 2016-2017 school year.


Related World Future Fund Reports:

Education Spending: An Area Where America Spends More and Gets Less

Broadband for All (How the internet can help replace some of the need for college education.)


Resources for Student Loan Borrowers
You are not alone. The following links can help you better understand your rights, find peers in the same situation as yourself, and help make your voice heard.

Government Regulators and Law Concerning Student Loans
Consumer Financial Protection Bureau
Federal Deposit Insurance Corporation
Federal Trade Commission
Dodd-Frank Wall Street Reform and Consumer Protection Act
Consumer Action - Financial Reform Quick Fact Sheet (pdf file)

Advocacy Groups
Student Loan Borrower Assistance
Student Loan Justice Facebook    Alan Collinge Facebook 
Consumer Affairs - Student Loan Section

Legal Assistance
Find Law