Student loans require bankruptcy protection.
These two points must be accommodated to current legislation.
1. No Repayment Requirement
It is inefficient for a burdened borrower to barely make payments on their private loans while bankruptcy protections exist for every other types of loans. How do you expect to get a job if you can't pay rent? It's a vicious cycle.
2. No Exemption for Non-Profit Private Lenders
There should be no distinction made between for-profit, and non-profit lending participants for these loans with respect to “dischargeability.” It is clear that removing bankruptcy protections from private and federal student loans has led to predatory lending behavior, inflated the cost of college, and poor oversight of federal loans.