Webinar: Why you should care about the CARES Act May 20, 2020 at Noon The Tampa Bay Bankruptcy Bar Association will be hosting a FREE Webinar via Zoom on May 20, 2020 from 12:00 to 1:30pm. Why you should care about the CARES Act and its impact on Student…
There a few unanswered questions regarding the roll out of federal student loan borrower protections provided by the CARES Act. The Student Borrower Protection Center and the National Consumer Law Center have combined forces and raised certain concerns to Secretary DeVos in a letter today that can be found here.…
False information provided by federal student loan servicers applying the CARES Act may also lead to liability in light of a recent case allowing public service employees to seek PSLF relief after being misinformed about the applicability of the law. A recent Forbes article noted our PSLF case’s potential impact. …
You’ve probably heard by now that the CARES Act provides for a suspension of payments and collections, and waiver of interest for six months. However, not all loans are covered. Importantly, 20% of federal student loan borrowers are not covered by the CARES Act. Covered loans do not include FFEL…
We were interviewed by the Penny Hoarder this week in their story “How You Could Get a Temporary Break from Student Loans Due to COVID-19.” You should also check out our recent blog post “Watch Out for These Pitfalls that may come with Suspended Federal Student Loan Interest.” Under the…
The CARE Act passed over the weekend extends the 60 day forbearance, interest waiver for all Direct Loans, and collection activities for 6 months. Until the Department of Education can update its rules to be CARE compliant, here is a summary of what to expect: Coronavirus and Forbearance Info for…
How do you determine if the COVID-19 federal law waiving interest applies to your federal student loans? The most recent changes are summarized here in a nice Q&A format: https://studentaid.gov/announcements-events/coronavirus. My take on all this: The Act suspends student loan payments and interest accrual through September 30. For those in…
We’ve gathered some information below for folks with student related questions if their job/business/income has been impacted by the CoronaVirus/COVID-19: Here some info below on servicers and US Dept of ED current updates: Nelnet; currently open “attempting to keep call centers staffed, however use online options” Offers: Deferment, forbearance Great…
Lawyers often spend too much time focused on whether a debtor meets the Brunner test for undue hardship that they miss major opportunities to reduce and eliminate federal and private student loan debt. Many people are in forbearance for years while their loan balances continue to grow. Taking advantage of…
Courts are divided on this issue. The answer may matter as to whether a debtor in bankruptcy must pass the means test. The federal Bankruptcy Code defines consumer debt as debt incurred by an individual “primarily for a personal, family, or household purpose.” … The court may classify student loans as either consumer debt or non-consumer debt. Some courts, like…