Means test- how are student loan funds treated

[sidhesadie]

There are other threads on this I know, and I did read them but I'm still a little unclear.
I am not asking about discharging student loans, I know they are not dischargeable.

I also have gleaned that funds from student loans (I get subsidized stafford loans) left over after paying tuition count.

My question is, do they count towards your 6 month income average or as cash on hand?
Because I get one check for 3 months, so that money is to be spread out for 3 months of expenses. It's fine if they count it as income and average it out, I"m still well below the means test. But Oregon has pathetic cash exemptions so if they take all the money as a cash asset, I'll be up a creek because that is my whole income for those 3 months.

I know they look at day of filing, but if I file at the end of a quarter, by my 341 I'll have the next fin aid check deposited.

Any ideas how best to time that?

[backtoschool]

Your student loan funds left over after your tuition is paid count as cash on hand and have to be exempted either with a cash exemption or a wildcard exemption.

They do not count as income.

[dumpinmydebt]

My wife and I will be filing about 2-3 weeks after we receive a $1700 loan disbursement, but $1000 of it is going to pay for a crown that I really need to have done asap. Also, we have money saved from the last disbursement to pay lawyer fees.

I'm not sure how much you actually receive, but if you can find things you need to spend it on, and leave enough in savings for an exemption, you should be okay.

[tay666]

I know they look at day of filing, but if I file at the end of a quarter, by my 341 I'll have the next fin aid check deposited.

Any ideas how best to time that?

All that matters is what you have on the filing date.
That is what is part of the BK estate.
If you get your aid check after that, it doesn't matter.

So, you will want to time your filing to be a little before you are due to get your next check.