With the economy in a continued downward spiral everyone is struggling to make ends meet. More and more people are facing the reality that filing bankruptcy is their solution. With credit cards, loans, unexpected illnesses, and even financial and job losses, declaring personal bankruptcy is something that millions of people must face each year. Everyone deserves a second chance to live a life full of happiness being debt free.
After a bankruptcy many people try to start over again by choosing a new career path. Many colleges have seen a surge of adults coming back to school to start their new lives and careers. The concern of many of these individual is how to pay for their education. The most obvious option is to apply for a student loan. However, many people fear that they will be unable to receive a student loan with a bankruptcy filing in their past.
Bankruptcy can’t keep someone from getting a student loan. If the loan is a government funded or guaranteed loan, then you can’t be denied your right to such a loan based on a prior bankruptcy filing. In many cases getting a loan immediately after filing bankruptcy can be difficult and you may end up paying higher interest rates. There is, however, a specific provision in the bankruptcy code that makes it unlawful for an entity to deny a loan to someone just because they were a debtor in a personal bankruptcy. Student loans certainly are not an ideal way to fund anything, but sometimes they are the only way to receive a decent education. Having the chance to start over again in a new career and hopefully live debt free is definitely worth it.