Understanding the Student Loans Pause

Three hands holding up graduation cap

On December 21, 2021, the U.S. Department of Education announced another extension of the pause offered to federal student loan borrowers. This pause will be effective through May 21, 2022. This pause allows student loan holders temporary relief measures such as;

  • 0% interest rate
  • suspended loan payments
  • stopped collections on defaulted loans

Though this program is a true “relief” to millions of student loan borrowers, it is temporary. Once May 21 comes around, borrowers will, again, be subject to monthly loan payments and accrual of interest. Keeping yourself informed and making a long-term strategy to remedy your debt is strongly recommended. Our Tenessee bankruptcy teams outline the ins and outs of the student loan pause and how filing bankruptcy can play a part.

Bankruptcy and Student Loans

In 1976, the bankruptcy code was updated to prevent the discharge of student loans. This new code has made it somewhat challenging to file bankruptcy against student loans.

Being able to discharge student loans in Tennessee is rare but not impossible. To accomplish this feat, the borrower must prove that making the repayment is insurmountable and will cause “undue hardship.” What is undue hardship? Simply put, it means paying the debt would force you into a minimal standard of living.

Navigating intricate processes such as student loan repayment and bankruptcy should not be done alone. Having an experienced bankruptcy attorney to guide you can make a world of difference.

How We Can Help

Having a skilled and seasoned bankruptcy lawyer on your side can make all the difference. Here at The Law Offices Of Mayer & Newton we pride ourselves on our experience and drive to learn our customers and their cases inside and out. We understand that deciding to file for bankruptcy can be overwhelming. It is a daunting decision, but not one you have to make alone. We ensure you have all the resources you need to take the right and informed steps towards your financial goals.

Talk to our qualified team of lawyers today by filling out a contact form online or giving us a call at We are here to help you make a clear decision and timeline