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Non-dischargable student loans after bankruptcy

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jtmoy19607
Established Member

Non-dischargable student loans after bankruptcy

I declared bankruptcy last december, I had to it was the right decision. But here is my current issue. One of the students loans through Keybank was being managed by AES, before my bankruptcy. After I declared my bankruptcy Keybank bought it from them and now they sent me a special settlement offer. The lithankne size is $4246.46, they offered me 70% of the amount for $2982.52. I can't afford the offer, obviously I don't have that amount of cash sitting around. So I decided to pay it every month for about $50, there is no interest. Should I just keep doing the monthly payment? 

 

or 

 

2) Should I offer a settlement and what should I not settle for, like is 40% a good amount, is 50 too much? 

 

3) should I just not pay it and they will write it off, since I declared bankruptcy does this matter much, how much worse could it effect my credit? 

 

4) Is this an offer cause they expect to get nothing from me? As I assume most people do in this situation. 

 

5) how badly do write-offs effect credit? 

 

thanks,

 

J

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1 REPLY 1
scorpiyo
Valued Member

Re: Non-dischargable student loans after bankruptcy

Was the loan issued prior to June 30 2010?  If so it is a possibility that the loan in guranteed by the government and there is no writing it off.  

 

If it was issued after June 30, 2010 it is not guranteed by the goverment so the goverment will have no say in the matter. 

 

It is important to find out if the loan is guaranteed or not.

 

Last point.  If you recently filed for bankruptcy and got a discharge you should not have much current debt in place.  Therefore why ruin your credit again over a $4000 loan?  Just don't make sense to me.  If you need to make smaller payments call the lender and negotiate a smaller monthly payment amount if needed.

Chapter 7 discharge 9/1/15

Starting scores EQ - 571 / TU - 548 / EX - 579
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