The U.S. Supreme Court on Tuesday sided with a borrower whose student loans were discharged in bankruptcy without his having proven that the payments were an "undue hardship" on him, as bankruptcy law typically requires. In its unanimous, narrow ruling in the unusual case, United Student Aid Funds v. Espinosa, the court found that a bankruptcy judge was wrong to have released Francisco Espinosa from his debt without ensuring that he met the undue hardship requirement -- but that the guarantee agency seeking to collect the loans was given a chance to object, and did not in due time.
- One for the Little Guy
- Appeals court sides with employee in U. of Tennessee religious bias case
- Rethinking Bankruptcy and Student Loans
- Education Department clarifies how some loan collectors pursue bankrupt borrowers
- Consumer Financial Protection Bureau issues report on private student lending
- Judge approves Corinthian liquidation plan, leaving $4 million for student loan discharge efforts
- 'The Student Loan Scam'
- Flawed Loan System
Search for Jobs