Currently viewing the category: "Student Loans"

Legislation for Bankrutpcy Discharge of Private Student Loans Goes To Next Step

On June 9, 2011 By

H.R. 2028, which would make private student loans dischargeable in bankruptcy, has taken the next step in the Congressional legislative process. The bill was introduced by Congressman Steve Cohen (Democrat from Tennessee) on May 26, 2011 and it has 17 co-sponsors including Jarid Polis (Democrat from Colorado). The bill has now been referred to the [...]

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What Are The Odds Of Discharging Student Loan Debt In Bankruptcy?

On April 18, 2011 By

Slim! But not impossible! Okay, the real answer: Student loan debt is non-dischargeable in bankruptcy unless the debtor can prove that paying back those student loans would cause an undue hardship. 11 U.S.C. § 523(a)(8). That means that the debtor must file an Adversary Proceeding in bankruptcy court and prove an undue hardship [...]

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Can I Qualify for Student Loans After Bankruptcy?

On February 7, 2011 By

Given the difficult economic times, many individuals are facing career transition and heading back to school to learn new skills. As part of that transition, many of those individuals must file bankruptcy to receive a financial fresh start. At the same time, these individuals must fund their retraining with student loans; so the question arises, [...]

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Student Loan Debt, The Double Standard!

On January 12, 2011 By

What is the student loan debt double standard? In 2009 Congress passed the Credit Card Act which significantly reformed the lending practices of credit card issuers. One of the hallmark provisions of that act dealt with credit card offers to those under age 21. Congress, in its wisdom, determined [...]

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Did You Know? It’s Official Government Policy to Oppose Bankruptcy Discharge of Student Loan Debt!

On November 1, 2010 By

For Perkins Loans it is official Department of Education policy to oppose a bankrupt debtors request for hardship discharge of student loan debt if the cost to defend is not expected to exceed one-third of the balance owed plus all penalties, interest and collection costs. See 34 C.F.R. § 674.49(C). (C.F.R. is Code [...]

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Are Student Loan Collection Fees and Penalties Dischargeable in Bankruptcy?

On June 24, 2010 By

Question:

I have filed Chapter 7 Bankruptcy Pro Se (without an attorney). I am aware that my student loans with the Dept of Education are not dischargeable. I listed in my Bankruptcy Schedules, Schedule E Creditors Holding Unsecured Priority Claims, the principle balance of the student loan debt, entitled to Priority Claim. I listed student [...]

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I Discharged Unpaid Tuition, but the College is Still Bugging Me to Pay?

On June 20, 2010 By

Question:

I owe money directly to my school for tuition and books for which I did not take out a student loan. I then filed Chapter 7 bankruptcy and was granted a discharge. I sent the school notice of the discharge (again) after the final decree was entered, but they continue to hound me for [...]

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Can Student Loans Still Be Discharged In Bankruptcy?

On March 8, 2010 By

Question:

Has any one out there ever won an adversary proceeding to discharge student loans under bankruptcy code section 523(a)(8) undue hardship since 2005? My loans are private loans for Sallie Mae?

Answer:

Short answer, yes! A good case out of Missouri, Marie v Citibank NA, Adversary Num. 07-6032, allowed the debtor [...]

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The Downside of Student Loans; The Only Certainties Now Are: Death, Taxes, and Student Loans.

On August 24, 2009 By

http://www.indenvertimes.com/2009/08/11/when-debt-ruins-lives-the-dark-side-to-student-loans/

Above is an interesting article about the “the dark side” of student loans. All too often, I see the downside in my office; client’s saddled with $20,000; $50,000; or $80,000+ in student loans and all I can usually tell them is, you’re stuck with it, but that by eliminating your other debt [...]

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What Must I Do to Discharge My Student Loans in Bankruptcy?

On August 11, 2009 By

Question

I have a private student loan that was listed on my chapter 7 discharge order in October 2008.  It was used at a school that was not eligible for Title IV funding.  The company is refusing to provide me copies of my loan documents until I pay them, which I am unable to because [...]

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