According to the Consumer Financial Protection Bureau student loan debt owed by borrowers aged 60 and older has quadrupled over the last 10 years. The average amount owed has increased, and the default rate is up.
Many senior borrowers are not financially qualified for these loans, and do not have sufficient income to fund the loan payments. However, many lenders are willing to make these loans, as student loans are very difficult to discharge in bankruptcy.
The consequences of default are significant. The borrower may lose the ability to qualify for loan forgiveness, as well as access to additional federal student aid. Also, lenders may garnish the borrowers wages, and seize income tax refunds.
The Law Offices Of Todd S. Frankenthal represents senior citizens in a variety of matters, including student loan disputes, and bankruptcies. Todd Frankenthal maintains offices in Boca Raton, Fort Lauderdale, and West Palm Beach.
