Chapter 7 Student loan

[Batiatus]

Hi Everyone. I filed for CH 7 pro se back in March and it was discharge last May. I also filed advesery proceedings for my Student loan about $70K.

My Student loans were disbursed on 2005 - 2006

Sallie Mae is willing to do $138/month for my $28K Private loan
Stundent Services wasnt $300/month for my federal loan

I have my case managment conference in August 26. What am i suppose to do?

my AGi for 2009 is $68K. I got divorrrce in 2008. I pay $1500 for my alimony and four kids ages 9, 6, and the twins are 4.

I also have another kid from another relationn age 10 which I pay $426/month

I'm also paying health insurance about $900/month and trying to support my family specially my dad and mom who doesnt have a job. My dad had a spine surgery last march.

I dont know what to since if I start paying I might end up on the streets. I have one car thats has 200K miles

Any suggestions would be greatly appreciated

[Exployer1234]

Are you eligible for hardship? I think you may need to be in current status with the loans. If you are not eligible for this tell them to start a wage garnishment on your pay. I believe the most the student loan companies can take is 15%. That means both companies would have to divide the 15% between them both and can only last a couple of years. I remember reading one thread from a member here that finally got this to occur. Also they would only be able to access this money after your child support is paid, so intern they may not even be able to take the 15% out if there is not enough meaning. What this means is that even if they get a judgement against you they would not be able to collect.

[tcreegan]

student loans

Hi batiatus,

I think Explorer1234 has the perfect solution.....have your wages garnished for the alimony, child support, and student loans. Check w/ a lawyer, but I believe the student loans take a back seat to the court-ordered alimony and child support. (the child-support for sure) In fact, with limits on garnishment, there might not be enough of your wages for the alimony and child support and the student loans get zero. What you need to watch out for is a three-way split of the garnishment that leaves you making up the balance of alimony and child support out of your checking account. Need a lawyer on this for sure, there are a lot details to attend to !!

btw, what was the outcome of your adversary proceeding?

What is a "case management hearing" ?? Who are you meeting with?

Good luck with everything,

Tom in Colo

[Batiatus]

Hi batiatus,

I think Explorer1234 has the perfect solution.....have your wages garnished for the alimony, child support, and student loans. Check w/ a lawyer, but I believe the student loans take a back seat to the court-ordered alimony and child support. (the child-support for sure) In fact, with limits on garnishment, there might not be enough of your wages for the alimony and child support and the student loans get zero. What you need to watch out for is a three-way split of the garnishment that leaves you making up the balance of alimony and child support out of your checking account. Need a lawyer on this for sure, there are a lot details to attend to !!

btw, what was the outcome of your adversary proceeding?

What is a "case management hearing" ?? Who are you meeting with?

Good luck with everything,

Tom in Colo

Hi I have my Case Conference managment on Augt 23rd this is what I got in the mail Iafter I filed the adversary proceeding. Its teleconference with sallie mae for my student loan ecmc for the federal loans. Can you guys please let me know what to expect? Do I need to submit anything prior to the conferecne. I sent a letter of proof of income and child support to both lawyers and a copy to the court a few months back. Please advise and thanks for all your help

[tcreegan]

Hi biatatus,


Hi I have my Case Conference managment on Augt 23rd this is what I got in the mail Iafter I filed the adversary proceeding. Its teleconference with sallie mae for my student loan ecmc for the federal loans.

ah, this if for the BK Sounds like a conference call with someone from Sallie Mae who handles student loans, your BK judge, and your lawyer. Check though, my daughter had one of these and it was her and judge in court, other party on the phone.

Can you guys please let me know what to expect? Do I need to submit anything prior to the conferecne. I sent a letter of proof of income and child support to both lawyers and a copy to the court a few months back. Please advise and thanks for all your help

You have a lawyer? Haven't they given you

[tcreegan]

two part post

sorry, hit the wrong button....as I was saying

....haven't you gotten information from your lawyer on what is necessary to discharge a student loan? It is tough, basically you have to prove that you are at your maximum employment level and paying the interest on your student loans would leave you homeless. And that you won't be able to increase your income in the future.

Get the income level of employment in your field, both average and maximum.
Get the long-term projections for earnings in your employment field
Get your income and all court-ordered payments
Get the interest payment on your student loans
Get the federal poverty level for your area

Be prepared to be told that your student loans are not dischargeable....

Tom in Colo

[tcreegan]

partial student loan discharge

....forgot a ray of hope, biatatus

Courts are increasingly giving a partial discharge of student loans, cutting the loan down to a more reasonable level. Might be prepared to ask for this, figuring out ahead of time how much student loan you could afford, pay all your obligations, and stay at the federal poverty level.

Good luck with this, I hope you win, but I would be asking your lawyer about the garnishment idea...

Tom in Colo

[Batiatus]

....forgot a ray of hope, biatatus

Courts are increasingly giving a partial discharge of student loans, cutting the loan down to a more reasonable level. Might be prepared to ask for this, figuring out ahead of time how much student loan you could afford, pay all your obligations, and stay at the federal poverty level.

Good luck with this, I hope you win, but I would be asking your lawyer about the garnishment idea...

Tom in Colo

HI I dont have a lawyer I filed everything on my own, Thanks for all your advise

[backtoschool]

....forgot a ray of hope, biatatus

Courts are increasingly giving a partial discharge of student loans, cutting the loan down to a more reasonable level. Might be prepared to ask for this, figuring out ahead of time how much student loan you could afford, pay all your obligations, and stay at the federal poverty level.

Good luck with this, I hope you win, but I would be asking your lawyer about the garnishment idea...

Tom in Colo

Hardship discharges of federally back student loans are almost impossible to obtain. You have to be unable to work for pretty much the rest of your life, and you have to be able to prove that.

[Batiatus]

i HAVE MY Case Conference managment and on the letter said I can participate by phone, but It doesnt say how. I called Santa Clara county and the phone just keeps on riging.

[tcreegan]

Hi biatatus,

I can participate by phone, but It doesnt say how. I called Santa Clara county and the phone just keeps on ringing.

Not a good sign is it? Yeah, you can participate by phone but we won't answer it if you call...sounds like my mortgage company....

Tom in Colo

[Batiatus]

Hi biatatus,

I can participate by phone, but It doesnt say how. I called Santa Clara county and the phone just keeps on ringing.

Not a good sign is it? Yeah, you can participate by phone but we won't answer it if you call...sounds like my mortgage company....

Tom in Colo

I emailed the CLerk and she gave me # to call for free so I dont have to pay Court call.

Anyways had my case conference today and the sallie mae ask to do a discovery. I didnt object and the judge ordered another meeting in dec. . What should I expect?

[HHM]

I hope you have some evidence and an expert witness or two lined up to testify that you have a hardship and that the hardship is likely to continue for the foreseeable future.

[Batiatus]

I hope you have some evidence and an expert witness or two lined up to testify that you have a hardship and that the hardship is likely to continue for the foreseeable future.

Well the only thing I can provide is my pay stub, my kids birth certificate, my child support order and the amount I pay for my medical

65K a year
$1500 4 kids ages 8, 6 and twins boys 4 years old from my recent divorce
$426 from another girl age 10 yrs old
$680 for medical, dental, vison that i provide for the whole family

Plus they want $500 for student loan payment? How am I suppose to live?

[backtoschool]

Well the only thing I can provide is my pay stub, my kids birth certificate, my child support order and the amount I pay for my medical

65K a year
$1500 4 kids ages 8, 6 and twins boys 4 years old from my recent divorce
$426 from another girl age 10 yrs old
$680 for medical, dental, vison that i provide for the whole family

Plus they want $500 for student loan payment? How am I suppose to live?

You will not win the hardship case with these numbers. There is an income contingent repayment plan that you can consolidate your loans into that might lower your payments, but unless you are permanently disabled and unable to work, you will not get a student loan discharge.