Texas Student Loan Lawsuit Defense
We advocate for those facing claims arising from private and public educational debt
The amount of student loan debt in the United is staggering. In 2022, the total was calculated at $1.7 trillion. Financial institutions rely on the law that prevents most student loan obligations from being discharged through bankruptcy to pursue borrowers for years, and even decades, after they have left school. Some people are burdened by education loans even in situations where they never earned a degree. Student loans continue to accrue interest and penalties over the years, often resulting in lawsuits for amounts much higher than what was originally borrowed.
Unsustainable student debt is not uncommon
Young people and their families are often lured into accepting substantial student loans by colleges and financial institutions. Depending on the situation and the student’s educational choices, the total amount borrowed could exceed $200,000. Lenders assure students that upon graduation they will have a lucrative job along with many years to pay their loan back. However, not everyone gets a lucrative job - or even graduates. Even for those making a good salary, there are numerous life expenses that might make it hard to pay your student loans on schedule. Moreover, the availability of a lengthy repayment period can be a curse when balancing student loan payments against other financial obligations that arise over the years.
Settlement is an option for individuals struggling with student loan debt
Because student loan debt is not typically dischargeable in bankruptcy, it is common for borrowers to believe that they have no option but to pay the full balance with ongoing interest, on high monthly installments. To the contrary, financial institutions have the ability to change repayment terms involving education debt and a suitable settlement with reasonable monthly payments can often be reached through negotiation.
Contact a Texas lawyer for a free consultation about your student loan debt
Tom Thomas Legal, P.C. advises clients throughout Texas on issues related to their student loan debt. You can schedule a free consultation to learn about your options by calling 855-898-3328 or contacting us online. Our firm has locations in Dallas, Houston, Austin, San Antonio, El Paso and Fort Worth.