Short answer: Yes, student loans can be discharged in bankruptcy — but not automatically. Unlike credit cards or medical bills, student loans require you to file a separate lawsuit inside your bankruptcy case (an “adversary proceeding”) and prove that repaying them would cause “undue hardship.” The good news: since the Department of Justice introduced a streamlined attestation process for federal student loans in late 2022, borrowers who qualify have been succeeding at rates that were unthinkable a few years ago.
Why Student Loans Are Treated Differently
When you file Chapter 7 or Chapter 13 bankruptcy in Florida, most unsecured debts — credit cards, personal loans, medical bills — are wiped out by the discharge at the end of the case. Student loans are the exception. Under Section 523(a)(8) of the Bankruptcy Code, both federal and private student loans survive bankruptcy unless you prove that repaying them would impose an undue hardship on you and your dependents.
Proving undue hardship requires an adversary proceeding: a formal complaint filed within your bankruptcy case, with the loan holder as the defendant. Many filers never attempt it because of the extra cost and effort — which is unfortunate, because the odds have improved dramatically.
The Brunner Test: What Florida Courts Require
Florida sits in the Eleventh Circuit, which applies the Brunner test for undue hardship. You must prove all three elements:
- Minimal standard of living: Based on your current income and expenses, you cannot maintain a minimal standard of living for yourself and your dependents if forced to repay the loans.
- Persistence: Additional circumstances — such as age, chronic illness, disability, or a limited earning ceiling — indicate that this situation is likely to continue for a significant part of the repayment period.
- Good faith: You have made good-faith efforts to repay the loans, which can include payments made, attempts to use income-driven repayment plans, or communication with the servicer.
The Game Changer: The DOJ Attestation Process for Federal Loans
In November 2022, the Department of Justice and the Department of Education issued joint guidance that created a standardized path for discharging federal student loans. Instead of a full-blown trial, the borrower completes an attestation form detailing income, expenses, and future circumstances. Government attorneys review it against objective standards (largely based on IRS expense guidelines) and, if the criteria are met, agree to settle and recommend discharge to the judge.
The results have been striking. Published analyses of the program report that the large majority of borrowers who complete the attestation process obtain full or partial discharge, and when the DOJ recommends discharge, courts almost always grant it. The attestation form was updated in May 2025 with more detailed expense categories and clearer presumptions of future hardship — for example, for borrowers at or near retirement age or with chronic medical conditions. The process remains in effect in 2026.
What About Private Student Loans?
Private loans are not covered by the DOJ attestation process — they still require litigating undue hardship under Brunner against the lender. That is harder, but far from hopeless: private lenders often settle, and some “private student loans” are not actually protected by Section 523(a)(8) at all. Loans that exceeded the school’s cost of attendance, loans for non-qualified schools, and certain bar-study or relocation loans may be dischargeable like ordinary unsecured debt. An experienced attorney should review your loan documents before you assume anything survives.
Chapter 13: Managing Student Loans Even Without Discharge
Even when discharge is not realistic, Chapter 13 can provide breathing room. During the three-to-five-year repayment plan, collection activity and garnishments stop under the automatic stay, and your plan payment is based on what you can actually afford. Interest generally continues to accrue, but for borrowers facing aggressive collection, Chapter 13 buys years of protection while other debts are resolved.
How the Process Works, Step by Step
- File Chapter 7 or Chapter 13 bankruptcy.
- File an adversary proceeding against the loan holder seeking an undue hardship determination.
- For federal loans, complete the DOJ attestation form with documentation of income, expenses, and hardship circumstances.
- The DOJ reviews and may stipulate to full or partial discharge; contested cases proceed toward trial (most settle).
- The court enters judgment — full discharge, partial discharge, or denial.
Frequently Asked Questions
Does Chapter 7 automatically wipe out student loans?
No. Student loans survive the standard discharge unless you file an adversary proceeding and win an undue hardship determination. Filing the bankruptcy is only the first step.
What are my realistic chances of discharging federal student loans?
If your income barely covers reasonable living expenses and your situation is unlikely to improve — due to age, health, family obligations, or limited earning capacity — the attestation process gives you a genuine, documented path to discharge. Reported success rates for borrowers who complete the process are high, but every case turns on its specific facts.
Can I discharge just part of my student loans?
Yes. Courts can grant partial discharge, and DOJ settlements frequently involve discharging a portion of the balance while the borrower repays the rest on affordable terms.
Will attempting a student loan discharge delay my bankruptcy?
The adversary proceeding runs on its own track. Your main bankruptcy case can conclude and discharge your other debts while the student loan litigation continues.
This article is for general informational purposes only and is not legal advice. Every case is different, and outcomes depend on your specific circumstances. If you are struggling with student loan debt in Hollywood, Fort Lauderdale, or anywhere in South Florida, contact our office for a free consultation to review your options under Chapter 7 and Chapter 13.