Tax return money to pay off student loan?

[moo]

We are still wiating to acutally file BK and was wondering would it be wrong to use our tax return money to pay of a private student loan. We are currently no paying 2 credit cards nd HELOC. The student loan is for about $6000.

Would we have to wait 60-90 days after paying the student loan off to actually file? Not sure if the BK system would consider this fraud or playinf favorites to all the creditors owed.

This forum is the best I have found and thank you for all your input.

[DebtHater]

I could see where the court might consider paying off a 6K loan as playing favorites right before filing. The only saving grace you might have is students loans are not bankruptable.

[novayalife]

We were in the same boat last year but were informed by our attorney that even a student loan payment would not be acceptable. We were told we could still continue making the regular monthly payment on them but no preferential lump sum payments. Hope that helps!

[moo]

Thank You for the replies.

I often think would it be easier to just settle with our debts, but then I think of the house that we are 70,000 underwater in and we don't plan on living there forever.

[coolmom04]

When you say, "we" I am guessing you mean you are filing together? If not, who is filing and who does the student loan belong to?

I ask b/c I just found out today that my husband can go ahead and file alone, but we can continue paying MY credit cards and my student loans without it being seen as preferential payments b/c it's on my stuff - not his.