Once you get a student loan in the US, you are pretty much stuck paying it off, no matter how bad of a situation you get into, even in bankruptcy.
Of course, there is the undue hardship exception, which allows for the discharge of student loan debt in bankruptcy…
Q. I heard that if you have an unusual hardship you can student loans discharged in bankruptcy, isn’t that true.
A.Yes, there does exist a special exception for “undue hardship” cases.
Imagine if a person with the student loan debt had incurred all of the student loan debt to study ballet at the local university and furthermore had been employed as a professional ballet dancer for several years.
Now imagine if that person got into a car accident and needed both legs amputated.
Q.So a ballet dancer who used the money to study ballet and could no longer pursue both the career for which they had studied been employed in because of a terrible hardship could get the special exception on their student loans?
A.Maybe, they could still teach ballet, which would be working in their field. Now if that person also had their arms cut off so they could not write about ballet and lost their voice box so they could not talk about ballet, that might be a case where the bankruptcy court would allow forgiving the student loan under the undue hardship exception. Note I said cut off and not broken, horrible injuries no matter how bad might not qualify if at some point in the future they might heal and allow the person work once more.