Legal Question in Credit and Debt Law in California

HELP - Private student loans

I'm trying to pay back private student loans (PSL), however I cannot afford the monthly payments. The payments account for 80% of my income. The total owed is $160K.

On top of that, I owe for prior medical bills, which I consolidated in 2008.

PSL collectors have threatened to garnish wages. Are there any legal to address the PSLs?

Asked on 3/09/09, 2:45 am

1 Answer from Attorneys

David Gibbs The Gibbs Law Firm, APC

Re: HELP - Private student loans

I would suggest that you consult with a bankruptcy attorney. Generally, you can only seek deferrment of student loans if they are federally insured or guaranteed. Check with the lender first to see if they have any partial or full deferment programs. If not, consult with a local bankruptcy attorney because, although student loans are generally non-dischargeable, there are some exceptions if they are not federally insured or guaranteed. Combined with the medical bills, you may need to get a fresh start though bankruptcy. The only other option is to get on the phone with the lender and try to work something out. Good luck.

*Due to the limitations of the LawGuru Forums, The Gibbs Law Firm, APC's (the "Firm") participation in responding to questions posted herein does not constitute legal advice, nor legal representation of the person or entity posting a question. No Attorney/Client relationship is or shall be construed to be created hereby. The information provided is general and requires that the poster obtain specific legal advice from an attorney. The poster shall not rely upon the information provided herein as legal advice nor as the basis for making any decisions of legal consequence.

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Answered on 3/09/09, 12:48 pm

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