95% forgiveness on student loan

[mama23boys]

We were recently discharged from our Chapter 13 bankruptcy. We have read that student loans may not be discharged. I was concerned about this and today looked at our original paperwork. The student loan (private school loan through Salliemae) is listed just as any other unsecured loan on our filing at 95% forgiveness. I cannot remember at all what they said about the student loan 4.5 years ago when we started this process. Does this mean that the student loan was included and we are discharged from the student loan or does it simply mean that was the amount of interest that we paid during our bankruptcy? How is everyone else's student loan listed on their papers? Should we contact the student loan company or is that opening up a can of worms? We've had our discharge papers for a week and have not heard anything from them though my husband has emailed in months prior telling them that we were coming up on discharge and would like to set up a payment plan. They obviously could not talk to us until they received the paperwork.

Thanks!

[lrprn]

We were recently discharged from our Chapter 13 bankruptcy.

Congratulations and a high five on your successful discharge! Way to go!

We have read that student loans may not be discharged.

This is true 99.9% of the time.

Does this mean that the student loan was included and we are discharged from the student loan or does it simply mean that was the amount of interest that we paid during our bankruptcy?

Because it was a debt you owed, your student loan was included in your Ch 13. However, the amount you owed on the student loan was not discharged.

We've had our discharge papers for a week and have not heard anything from them though my husband has emailed in months prior telling them that we were coming up on discharge and would like to set up a payment plan. They obviously could not talk to us until they received the paperwork.

I suggest contacting your lender and asking if they have received the discharge notice yet. If they have, then start the ball rolling getting payments set up again.

If they haven't received the discharge notice yet, then request a printout of your loan(s) history showing all payments made and the current total owed. They can provide an informational sheet about your loan - that's not asking for payment and so is not a violation of your automatic stay. At least you can find out where you stand on the loan balance.

No matter which one happens, brace yourselves. The loan interest has been building up every month while you've been in your 13 with no payments being made. Unfortunately this is the extremely unfair black hole of student loans in Ch 13....unsecured but not dischargeable so the interest continues like the loan was an asset loan....a major "little something" overlooked by our 2005 congressional representatives who in their infinite wisdom voted in overwhelming numbers for our current very badly written bk law. Be sure to thank yours personally if they voted for this travesty of a law and are still around.