But it is not real. Instead, because the a study new SBPC create today lines, it common misbelief ‘s the results of a years-enough time design of the student loan industry aimed at clogging borrowers out-of opening its full rights during the bankruptcy-all of the to ensure that these firms you are going to pad the earnings.
Our investigation reveals that during the boom-and-bust cycle of exotic private education credit that took place over the last two decades, approximately 2.six billion borrowers took on $50 billion in private student loans that were always presumptively dischargeable in bankruptcy-but industry used every trick in the book to drive struggling borrowers away from their right to relief.