On Wednesday (9/23/09) at 1PM the House Committee on the Judiciary Subcommittee on Commercial and Administrative Law will be holding a hearing called “An Undue Hardship? Discharging Educational Debt in Bankruptcy.”
If that sounds a bit boring, then you haven’t been paying attention. Private student loans, which contain few borrower protections and high interest rates, became nearly impossible to discharge under bankruptcy because of legislation passed in 2005. This has made private student loans more dangerous for students and more lucrative banks.
The bottom line: students have been singled out for less protection. What does this say about our country’s priorities?
