Personal Student Loans BK question in Illinois

[mlopez60120]

I have personal and Federal Student loans. I filed for BK chapter 7 in May of 2012. I notice in my BK paperwork that the two personal Student loans with Sallie Mae are included in the BK papers. In my discharge papers it indicates that I am discharged. In the certification of notice of the two loans are clearly listed. The discharge letter does not state any thing about discharge excluding the loans. I have gone over all my paperwork and nothing indicated that the loans did not fall into the BK.


What I am not sure off is how does Chapter 7 apply to the Personal Student Loans? If not covered under BK why not?

Thanks in Advance

[ValleYum]

Sally Mae was notified since they were listed in your petition. The bankruptcy code itself has a section on which debts are considered not to be discharged. Education loans are listed in this section. See: Title 11 U.S.C. § 523(a)(8)

You can read it here: http://www.gpo.gov/fdsys/pkg/USCODE-...pII-sec523.htm

Congress has changed the law numerous times regarding discharge of student loans and made them all but impossible to discharge unless you can prove undue hardship. Here is a really awesome detailed article with dates and tons of info: http://www.finaid.org/questions/bank...xception.phtml

Hope this was helpful to you.

[Drazil65]

My husband had 2 private student loans with Sallie Mae when he went thru his chp 7 a couple of years ago. Showed the same way as you described until a couple months after the discharge when we received a letter stating that now that the bankruptcy was discharged now the invoices would start coming again. Sallie Mae doesn't seem to forget anything especially private student loans. Good Luck!