Student Loans and Financial Hardship

At Reedman Law, we provide legal services to individuals seeking advice or representation concerning their government student loans, including loan discharge after bankruptcy or a consumer proposal under the Federal Bankruptcy and Insolvency Act, commonly known as a hardship application.

Eligibility for Student Loan Forgiveness

To be eligible for relief and have your government student loans forgiven, you must meet the following criteria:

1. You have either filed for bankruptcy or filed a consumer proposal.
2. Your government student loans survived your insolvency process (i.e., the loans are less than 7 years old from the date you filed for bankruptcy or a consumer proposal).
3. You have been out of your studies for at least five years from the date you are applying to the court.

Applying for Student Loan Discharge

If your government student loans survive the insolvency process, you can apply to the court for relief under Section 178(1.1) of the Bankruptcy and Insolvency Act to have your government student loans discharged as part of the insolvency process.

Our Process for Student Loan Discharge Applications

At Reedman Law, we understand the importance of making these applications achievable and cost-effective for our clients. For those seeking advice and representation regarding the potential discharge of their student loans, we offer the following process:

1. Initial assessment: We will review your case and determine whether your student loans may be eligible for discharge.
2. Consultation: We will discuss your options and provide advice on the best course of action for your specific situation.
3. Representation: If you choose to retain our services, our lawyers will guide you through the application process and represent you in court.

1) Email info@reedmanlaw.com or complete our intake sheet at https://app.lawmatics.com/forms/share/7330b286-834b-4059-ad90-39ec861192fe (which is also located on our client intake section) and indicate you are interested in seeking information for a “Student Loan Hardship Application”.

2) Our office will conduct the necessary intake information, including conflict checks and verification of identity pursuant to the know your client obligations under the Law Society of British Columbia.

3) We will provide a copy of our intake form and request a retainer of $560 (inclusive of taxes) to assess whether or not you would be a candidate for a student loan hardship application under s. 178(1.1) of the Bankruptcy and Insolvency Act. If you retain us, any amounts paid towards your initial assessment are credited towards the cost of a retainer.

4) We will then send you our initial assessment and opinion based on the information provided on whether or not you would be successful on such an application. We would then discuss the costs of retaining our firm to make the application to court on your behalf. Many times, we frequently can quote block rates (e.g. fixed fees) and we take payment plans to make these applications achievable for clients.

Private Student Loans: Insolvency and Discharge

Our services in this area complement our Bankruptcy and Insolvency offerings. If you have questions concerning private student loans, such as how these are treated in an insolvency process or if a financial institution or other lender opposes a discharge from bankruptcy, we would be pleased to schedule a consultation to assist you.