Bloomberg Law
Feb. 25, 2020, 11:30 AM

Startup Urges Bankruptcy Filers to Seek Student Debt Discharge

Alex Wolf
Alex Wolf
Reporter

A legal startup wants to convince more bankruptcy filers to try wiping out their student debt.

Reset Button, founded Feb. 12, plans to use automated technology to help consumer bankruptcy filers find lawyers, provide debt counseling, and pursue infrequently used legal strategies. Less than 1% of filers currently attempt to trim student loan obligations during bankruptcy.

The company’s launch comes just a month after a federal court in New York widened the possibility of discharging student debt through bankruptcy, a headline-grabbing decision that’s brought new attention to the issue. Meanwhile, the nation’s student debt level continues to balloon, now at ...

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