Student Loans under Chapter 13

[qwerty64]

Where do you account for student loan payments in a Chapter 13 payment plan?

I believe I am correct in understanding student loans cannot be discharged under Chapter 13. I see spaces for secured creditors in form 22A and 22C, but these are not "secured" debts in that there is no property tied to the loan like a home or auto.

Should these loan payments have priority over credit cards and other unsecured debts and, if so, how do you account for the payments on form 22A or 22C?

Thanks in advance.

[despritfreya]

Where do you account for student loan payments in a Chapter 13 payment plan?

You don't. Student loans are treated just like any other unsecured creditor and are not referenced in the Plan.

I believe I am correct in understanding student loans cannot be discharged under Chapter 13. I see spaces for secured creditors in form 22A and 22C, but these are not "secured" debts in that there is no property tied to the loan like a home or auto.

You are correct, they are not discharged unless you seek and are granted a hardship discharge. Since they are unsecured they are not referenced in form 22.

Should these loan payments have priority over credit cards and other unsecured debts and, if so, how do you account for the payments on form 22A or 22C

Same answer as above. Student loans are simply unsecured debt that does not get discharged. There is no special treatment.

Des.

[HHM]

Already answered, I will just confirm what "desp" already said.

1. You cannot budget for the monthly student loan payments as an expense "unless in 100% plan, if your show no disposable income on B22C (but that view is not shared in all districts), or if student loans are the only unsecured debt." Student loans are merely debts and you list them on Schedule F (unsecured, non-priority, claims).

2. Student loans are NOT discharged in chapter 13.

3. Student loans DO NOT have any priority over other debts. They are Class IV unsecured creditors just like credit cards. (sorry).

If you want to change it, write your congressman and senator.

In my view, student loan debt, and the subsequent defaults are the next bubble (and future bailouts) waiting to happen. If I had my way, every BK attorney across the county would file AP's for every debtor with student loans and seek a hardship discharge to clog up the system and FORCE reform.

[despritfreya]

If I had my way, every BK attorney across the county would file AP's for every debtor with student loans and seek a hardship discharge to clog up the system and FORCE reform.

LOL, if it were only that simple!