Hi, I have a quick question about student loans. I am in the middle of Ch. 7 (341 hearing was a week ago). Anyway, I have a student loan that I know will be non-dischargable. The question is about payments. Now the account status is "suspended", I am not receiving statements, and there is no monthy payment due. Should I continue to make payments on my own while the account is suspended? Any advantages either way? Thanks a bunch. This websight is a lifesaver.
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Yeah, you can continue to make payments. The reason you are not receiveing statements is because of the BK, even though the debt is non-dischargable, they are still subject to the automatic stay against any collection activity (i.e. the sending of statements).
However, you can send them payments voluntarily, and they should credit them appropriately. -
I called the direct loan service center (dept. of ed. loan) and they told me that I didn't have to make any payments until the bk is over. They sent me a statement directly after discharge. You could just take a break with payments for 3 months. I used the money for the lawyer costs. The suspention doesn't affect your credit.Edyta...
Discharged April 2005Comment
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