In another much more famous case a few years ago involving a different Ohio resident law graduate denied due to his student loan debt of about $250,000, his loan was sold more than once & new lenders added on massive fees of something in the neighborhood of $30,000 as a penalty. In fact, if I recall correctly, he was assessed more than one penalty.
In the instant matter, it is reasonable to assume that a large portion of the $340,000 of student loan debt is from accrued interest. How much, if any, is due to penalties imposed by lenders has not been shared. It is also unclear–at least to me–when the law grad became disabled or partially disabled.
The law grad understands and admits that her student loans will never be fully repaid. She has stated that she plans to comply with the loan option which permits income based repayment for 25 years after which the remaining balance will be forgiven.
The law grad’s dilemma will hopefully draw attention to the student loan industry which makes loans not based on creditworthiness or on liklihood of lucrative employment after graduation, but, instead, relies on the ridiculous provisions in the bankruptcy laws which make student loan debt almost impossible to discharge. Fortunately, a recent ruling by a bankruptcy judge in another case involving law school debt has placed some degree of sanity back into the bankruptcy laws. Let’s hope & pray that the appellate courts agree.
P.S. Important to consider that the law grad did not choose to become disabled, nor did she choose to suffer from alleged medical malpractice which compounded her injury. She lives in poverty with a disabled spouse.