Religious Contributions Not Considered in Dischargeability of Student Loans

The bankruptcy court is not required to take religious contributions into consideration when decided whether a debtor is entitled to discharge student loans, according to a District Judge in New York. The debtor did not present compelling facts to support an argument that the First Amendment or the Religious Freedom Restoration Act of 1993 compels the deduction of religious contributions in deciding whether the repayment of student loans impose an “undue hardship” under bankruptcy code.

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