Question: Current bankruptcy law bars graduates from being discharged from their outstanding student loans for seven years after the completion of their studies or five years

Current bankruptcy law bars graduates from being discharged from their outstanding student loans for seven years after the completion of their studies or five years in cases of hardship. Although the prohibition has been reduced from 10 years, it is still alleged to be unfair differential treatment of a specific source of debt that prevents an individual’s personal circumstances and conduct from being considered in bankruptcy decisions. Defenders of the prohibition maintain that it is designed to protect the integrity of the student loan system and prevent easy abandonment of such obligations. Are the recent changes sufficient? Should the ban be further decreased or even completely removed?

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