Who was discharged?

[BKinIowa]

How do you actually find out who was discharged? Our case was closed last week and I am trying to find out if one of our loans was discharged. Thanks!

[music12]

all debts except for things like student loans, taxes, etc., are discharged. what was the loan for?

[keepmine]

The discharge letter will not list the actual debts discharged. The verbiage will be something to the affect that, "all debts eligible for discharge are discharged" and refer you to the section of the bk code dealing with exceptions.

http://doney.net/bkcode/11usc0523.htm

Unless you have something that is an exception to discharge, you can consider it discharged.

[BKinIowa]

I have a personal loan that was for a for profit computer certification "school". I called the loan company and it has been transferred to another bank and they did not have anymore information for me. They told me that they would try to call or send something in the mail. I am surprised that it is this difficult. I know that I have student loans that will not go away, but this "education" loan that went to a for profit company is a little confusing for me. If they send a bill, I guess that I have to pay, correct?

Thanks for the help.

[music12]

no, if they send a bill they could be violating bk rules by trying to collect a discharged debt. don't rely on them to tell you whether it was discharged or not. for any gray area, you should assert that it was discharged, and let them prove that it was a bona fide student loan. the bank they transferred the loan to probably has no idea what it was for originally. don't tell them! if they send you a bill, send a copy of the discharge order and tell them you'll seek sanctions if they don't stop.

why do you write "school" in quotes?

[music12]

take a look at:

(8) unless excepting such debt from discharge under this paragraph would impose an undue hardship on the debtor and the debtor’s dependents, for—
(A)
(i) an educational benefit overpayment or loan made, insured, or guaranteed by a governmental unit, or made under any program funded in whole or in part by a governmental unit or nonprofit institution; or
(ii) an obligation to repay funds received as an educational benefit, scholarship, or stipend; or
(B) any other educational loan that is a qualified education loan, as defined in section 221(d)(1) of the Internal Revenue Code of 1986, incurred by a debtor who is an individual;

it doesn't sound like your loan falls under (A)(i). is it either (A)(ii) or (B)? that's the question you need to answer for yourself.

[Amy26]

If "all eligible debts" get discharged...why does it matter if they are specifically listed on the petition? I have 2 that were left off but I have given them my bk info to... I assume they will request to be notified? Do I really need to amend my petition to add them?

[keepmine]

If "all eligible debts" get discharged...why does it matter if they are specifically listed on the petition? I have 2 that were left off but I have given them my bk info to... I assume they will request to be notified? Do I really need to amend my petition to add them?

It matters because, you are required under the code to list all creditors. If, you've not had your 341, I'd suggest you amend the petition.

[music12]

generally, if you left some creditor off, then if you are a no-asset case, it doesn't really matter whether your schedules are amended to include them. however, if you are an asset case, then they are not discharged if you didn't list them. the rationale is that in a no-asset, the creditor didn't lose any rights by not being notified because they wouldn't get any money anyway, whereas in an asset case, the creditor would have received some distribution if they had been listed, so it's unfair to them to discharge.

i guess if an unlisted creditor can show at some point that they could have proven fraud had they known, that may be a different story, but i'm not sure.

[BKinIowa]

I put school in quotes because is was not a school, it was more of a technical training company, which went BK about 4 years ago and took my money with them. Funny how things come full circle.

[music12]

it's ironic they went bankrupt...

i would act as if the loan was discharged. if they try to collect, tell them it was discharged. that way, you are shifting the burden to them to prove that it falls within the exceptions to discharge.

i would also ask your attorney (if you have one).