Are you drowning in student loan debt in Irvine, CA? The weight of educational loans can be overwhelming and affect your financial stability and future prospects. Fortunately, there can be solutions if you cannot afford your payments, have defaulted, or are facing legal action from lenders.

Retaining a qualified student loan debt attorney should be your first step when facing difficulties with loan payments. In most cases, you cannot simply discharge this type of debt in bankruptcy as you might other debts. The right lawyer can explore other options to manage your student debt, such as loan consolidation, deferment, forbearance, or even loan forgiveness programs. In rare cases, you might qualify for a discharge or have to face litigation.

By seeking legal representation, you can protect your future and work toward a feasible solution to your student loan burdens. If you are ready to address your student debt, Resolve Law Firm in Irvine, CA, is here to help.

Contact us today for a consultation at (818) 697-9699. Our Irvine, CA, student loan debt attorney will assess your situation and create a personalized plan to get your finances and life back on track.

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Why Choose Resolve Law Firm?

Student loan debt impacts more than just your wallet; it affects your entire life. At Resolve Law Firm, we understand your challenges and provide personalized solutions. Our skilled Irvine, CA, student loan debt lawyers have helped hundreds of clients overcome financial challenges by exploring options like debt settlement, bankruptcy, or forgiveness programs for their student loan debt.

Our clients rave about our compassionate and effective service for managing student loans and other debt. One satisfied client shared:

“Resolve Law Firm made me feel supported and informed throughout my bankruptcy process. Irene and Leroy were incredible in helping me navigate a tough situation. I can finally breathe again. Don’t hesitate to reach out!”

We help all our clients with the same commitment and drive to achieve the most favorable result for their financial futures. Call our office today at (818) 697-9699 to learn more.

More Students Require Large Student Loans

Currently, the cost of attending college in the United States, including California, continues to rise, driven by tuition, fees, and living expenses. The average cost of attendance at an in-state public four-year institution is approximately $27,146 per year, or $108,584 over four years. Out-of-state students pay around $45,708 per year, totaling $182,832 over four years. Private nonprofit universities are even costlier, averaging $58,628 per year or $234,512 for a four-year degree.

Students take out loans primarily because of the gap between college costs and available financial resources. While financial aid, such as grants and scholarships, covers tuition for many low-income students at public institutions like the University of California (UC) and California State University (CSU), non-tuition expenses, including housing, food, transportation, and books, often require borrowing.

Students Owe $1.7 Trillion in College Debt

With $1.7 trillion in student loan debt burdening U.S. college students and graduates. California’s four million borrowers owe $147 billion, with an average debt of $37,000. High living costs exacerbate financial strain, and 20 percent of borrowers face default or delinquency, particularly on private loans that lack federal protections. Despite a strong economy in tech and healthcare, rising education costs drive borrowing.

Ever-increasing living costs combined with low wages and other financial challenges can easily cause borrowers to fall behind on payments. When lenders take legal action, it can be devastating for your finances if you do not address the matter properly.

Facing possible wage garnishment, default, or other lender action, can be devastating, especially in California, where taxes and living expenses are second-highest in the United States. You must do everything possible to preserve your finances and credit; speak with our Irvine student loan debt attorney at Resolve Law Firm now to discuss options.

Student Loan Collections

The COVID-19 pandemic significantly altered default trends. The federal student loan payment pause, initiated in March 2020, halted collections and interest accrual, resulting in a reported zero-percent default rate for several years due to the forbearance. The Fresh Start program, which ended on September 30, 2024, further reduced defaults by reclassifying defaulted loans as current.

However, as of May 2025, the U.S. Department of Education resumed collections on defaulted loans, with approximately 5.3 million Americans, including many in California, at risk of collection actions. Once the collections reach a certain point, borrowers can face litigation and potentially wage garnishment and other penalties.

Private student loans can be particularly challenging to manage, as they often come with stricter terms and less flexibility compared to federal loans. If you are struggling to pay back your private student loans, you may find yourself facing aggressive collections actions from lenders. Private lenders often have shorter timelines for taking legal action, making it critical to speak with Resolve Law Firm as soon as you suspect you might have an issue with your payments.

Dealing student loan collections can be overwhelming, especially when dealing with aggressive tactics from lenders or collection agencies. Retaining a student loan debt lawyer can be critical in protecting your rights and finding a solution that works for you.

An experienced attorney can help you understand your options, negotiate with lenders on your behalf, and potentially even challenge the validity of the debt. When facing mounting student loan debt and aggressive collections efforts, seeking legal assistance is not a sign of weakness but rather a proactive step towards resolving your financial situation.

Legal and Financial Options For Student Loan Repayment

There are programs that some student loan borrowers might qualify for to reduce their payments or forgive their loans altogether. For example, federal borrowers might benefit from:

• Income-Driven Repayment (IDR) Plans: These programs cap payments at ten to 20 percent of discretionary income, with forgiveness after 20 to 25 years.
• Public Service Loan Forgiveness (PSLF): This program forgives the balance of federal loans after 120 qualifying payments for public sector workers.

Keep in mind that the policy behind these programs can change and is often in question, depending on the current federal administration. It is natural for federal student loan borrowers to feel confused and concerned about the future of these programs and how it might affect their loans.

Our student loan debt attorneys negotiate settlements for private loans, often reducing debt by 30-60 percent, or defend against lawsuits. Although challenging, bankruptcy is an option under the Brunner test for “undue hardship,” with recent federal guidance easing discharge requirements.

Resolve Law Firm can assess whether bankruptcy or other strategies are best suited to address your student loan debt.

Limitations on Bankruptcy Discharge of Student Loans

Bankruptcy is a common tool for Americans struggling to pay overwhelming debts, as a successful bankruptcy case can discharge debts, meaning you are no longer responsible for paying them. Many bankruptcy cases result in an almost clean financial slate. One exception is student loan debt.

In most cases, student loans are excluded from dischargeable debt under U.S. bankruptcy laws. As with most laws, however, there are narrow exceptions.

To determine eligibility for discharge, many courts use a legal standard called the  “Brunner test.” The Brunner test sets a high bar for proving undue hardship, the key requirement for discharging student loans. Under this test, student loan borrowers can only qualify for a discharge if they can demonstrate the all of the following:

• The borrower does not have the financial ability to repay the loan due to undue financial hardship
• The hardship and inability to repay the loan is expected to continue into the future
• They have made good-faith attempts to to repay the loan in the past

Demonstrating adequate and persistent undue financial hardship is the biggest challenge of qualifying for a discharge. Generally, borrowers must prove they will be unable to maintain a minimal standard of living if they must continue to make student loan payments.

Often, borrowers who pass the Brunner test have developed disabilities who keep them out of work or experienced other extenuating circumstances. Overall, this is a challenging standard to meet, but it is not impossible for every borrower.

An experienced student loan debt lawyer can assess your eligibility for a discharge of your loans in bankruptcy. If you should pass the Brunner test, given your situation, our skilled attorney can present a compelling case to the bankruptcy court.

Other Legal Options to Manage Student Loan Debt

Many borrowers feel like bankruptcy is their only option, and they are dismayed to learn that student loans are rarely dischargeable. However, our skilled Irvine student loan debt attorney can explore alternative solutions that can help you manage your student loan debt effectively.

At Resolve Law Firm, we can guide you through various loan rehabilitation options, negotiating with lenders for favorable payment terms, and defending you against lawsuits by lenders.

Repayment Plan Options

When faced with mounting student loan debt, one viable solution is to explore different repayment plan options. Depending on your financial situation and income level, you may qualify for income-driven repayment plans that cap your monthly payments at a percentage of your discretionary income. Our attorney can assess your eligibility for these plans and assist you in applying for the most suitable option to alleviate the burden of student loan debt.

Negotiating with Lenders for Rehabilitation and Payment Options

When you are behind on payments, negotiating with lenders for rehabilitation and favorable payment options can significantly ease the financial strain caused by student loan debt. Our experienced student loan lawyer can communicate with your lenders on your behalf to explore possibilities such as loan consolidation, debt settlement, or restructuring of payment terms. We might request forbearance or deferment when available to give you a break and time to catch up on past-due payments.

By leveraging our negotiation skills and legal experience with consumer debt, we can try to reach a mutually beneficial agreement that aligns with your financial capabilities and alleviates the stress associated with student loan debt.

Defending Against Lawsuits by Lenders

In some cases, lenders may resort to aggressive tactics such as filing lawsuits to collect overdue student loan payments. If you are facing legal action from lenders, Resolve Law Firm can provide strong defense strategies to protect your rights and financial interests. We will review the specifics of your case, challenge any discrepancies or violations, and advocate for a fair resolution that safeguards your financial well-being.

By having our firm explore alternative options to bankruptcy, you can effectively manage your student loan debt and pave the way towards financial stability. Contact Resolve Law Firm today to schedule a consultation and start resolving your student loan debt issues.

Addressing Other Disputes With Student Loan Lenders

Facing other student loan disputes can be stressful, and they can include challenges beyond repayment issues. Student loan lenders can make errors that result in costly consequences to borrowers. As a student loan borrower in Irvine, CA, you should have legal guidance to handle these disputes effectively.

Lenders might:

• Miscalculate your owed payments
• Fail to properly record payments, resulting in late fees or default
• Misreport information to your credit bureau

An attorney with experience in student loan debt matters can provide valuable assistance in negotiating with lenders to resolve disputes. Often, the right legal representation from the start can resolve the dispute before litigation is filed or proceeds too far into the process.

Learn More About What Our Irvine, CA, Student Loan Debt Lawyer Does

Resolve Law Firm addresses federal and private student loan challenges for our clients, including complex repayment plans, default resolution, dispute resolution, and debt forgiveness. Our skilled Irvine student loan attorney regularly resolves wage garnishments, lawsuits, and loan disputes.

Don’t let student loan debt overwhelm you. You should never stay up at night worrying about payments, disputes, or your financial future.

Contact Resolve Law Firm at (818) 697-9699 to schedule a consultation with our experienced Irvine, CA, student loan debt attorney. We’ll explore every option, from settlements to forgiveness programs, to resolve your student loan debt and restore your financial future.

Resolve Law Firm, APC – Irvine Office

100 Spectrum Center Dr #1460, Irvine, CA 92618
P: (949) 301-9144