NACBA Applauds Bipartisan Effort to Discharge Excessive Student Loan Debt

NACBA Applauds Bipartisan Effort to Discharge Excessive Student Loan Debt

Washington, May 5, 2017—The National Association of Consumer Bankruptcy Attorneys (NACBA), the only organization dedicated to protecting and enhancing the rights of consumer bankruptcy debtors, applauded the lead of Congressman John Delaney (D-MD) on sponsoring H.R. 2366, The Discharge Student Loans in Bankruptcy Act, with bipartisan support from Congressman John Katko (R-NY). H.R. 2366 reforms the federal bankruptcy code to allow excessive student loan debt to be discharged in bankruptcy. With Americans facing a growing $1.3 trillion-dollar student loan debt and more than 11% now in default, this bill would treat student loan debt as equal to other forms of debt, like credit cards.

“We applaud Congressman Delaney’s leadership on taking the first step to offer relief from student loan debt to those in greatest need,” says NACBA President Jim Haller. “Today’s action brings us closer to helping thousands of our members better serve their clients by providing an option to rebuild their financial health. NACBA recognizes the complexity of student loan debt, but also sees the daily struggle of many debtors that sought an education for a better quality of life. Instead of getting a head start, the crushing debt of student loans puts careers, family and even retirement on hold and takes years to overcome.”

NACBA Executive Director Dan LaBert added, “Bankruptcy is a remedy of last resort that no one enters into lightly and which is available only to those who can pass rigorous tests which demonstrate that they are unable to pay their debts. NACBA commends Congressman Delaney and Congressman Katko for addressing this important issue head-on with bipartisan cooperation, and NACBA looks forward to working with you and your colleagues in Congress as the bill moves forward.”

NACBA encourages consumer attorneys and clients to contact their local Congressional office and urge support of H.R. 2366.

 

 

No Comments

Post a Comment