When most people think about filing for bankruptcy, they are under the misconception that the bankruptcy will discharge all their outstanding debts. That is not necessarily true. There are a variety of debts which are not automatically discharged as part of bankruptcy proceedings. In most cases, bankruptcy will write off the majority of unsecured debts. It will not, however, erase alimony payments, child support payments, tax debts, court-ordered restitution, illegally-incurred debts, and most student loans.
As there is currently more than $1 trillion dollars in student loan debt in the United States, eastern Michigan, the federal government and certain private practice law firms, are working hard to collect payments on local, outstanding student loans. In fact, over the last 20 years, an estimated 14,000 student loan lawsuits have been filed in Detroit's U.S. District Court. Due to their aggressive efforts, eastern Michigan has reportedly helped recover upwards of 13% of the nationwide federal student loan lawsuits.
For the past 33 years The Law Office of Marshall D. Schultz has been representing clients facing all manner of bankruptcy, foreclosure, and other legal proceedings. We understand the toll student loans, and other extensive debt, can have on your family, life and livelihood. That is why we are here to represent you and your interests. We have an in-depth knowledge of bankruptcy laws, take pride in providing our clients with the legal representation they deserve, and work diligently to help you get back on the road to financial freedom.
If you have defaulted on a student loan, or any other type of loan, or you have questions about which of your debts would be discharged in a bankruptcy, contact an experienced Detroit bankruptcy lawyerat our firm today.