Discharging Student Loans in Ch 7

[Anonymous]

Has anyone had success discharging all or part of their student loans in Ch 7? I know it’s supposedly “impossible” but I’ve also read judges are becoming more willing to do this.

[Jnbmom]

In rare cases if you can prove "undue hardship" but I believe that is at the judge's discretion and it could be partially discharged, restructured or fully discharged.

[Anonymous]

Arguing for discharge of your student loans is not a part of a standard bankruptcy. You would need to initiate an adversary proceeding and make an arguement supporting your request. This will likely require the use of an attorney.

If you were seeking to argue for student loan discharge, I'd research this first and consult with an attorney who has successfully obtained a student loan discharge. You may want to determine what standard is used in your jurisdiction (e.g. do a Google search for "Brunner test") and if you meet that criteria. 

When my roommate filed bankruptcy, he received advice that the generally in Los Angeles county, only disbaled and older folks who don't have a capacity to increase their income received discharges for student loan debt. It was suggested that he explore administrative discharge (outside of bankruptcy court) for his debt.

[neoanderson1]

It depends on your jurisdiction and your circumstances. Generally, the answer is no. If a person intends to file and they are in dire straights/low income etc. Such a person might strike gold. That said, it is possible but they make it so it's hard. Silly, I think student loans should be easily dischargeable.

[Anonymous]

I can't say for certain right now but I will keep you posted. I am in the process of trying to get mine discharged as well so pray for me because I am also trying to do it on my own (with no lawyer) which has been it's own challenge but I am REAL financially challenged so I couldn't afford it but I wanted to at least try. Put some of this Criminal Justice degree to use that I never got a degree for, lol. I got out of school (unfortuantely I didn't graduate which makes the almost 50,000 that I owed in 2006 that much more hurtful) but as of today it is almost 80,000 (the interest is a BEAST!!!) I filed for Chapter 7 on 09/05 and filed my adversary proceeding on 09/06 and followed all the steps and got the certification of service and waited on them to respond. As of 11/05 they hadn't responded so I filed my Motion for Default, just received a letter stating that I am missing a statement that I must submit, so  I have prepared the statement and will be submitting that tomorrow.

**Fingers crossed I will be able to truly answer this question for you soon and very soon**

I really am wondering if someone has actually completed this process as well because I am trying to know what to expect next since I have done my MOC and want to know if I will get my discharge while I am going through the adversary proceeding or must that be completed as well before I will get my discharge.

[Anonymous]

UPDATE:

Took my Declaration in and just received a court date of 12/11/18. My due date for the last day to object to my discharge is on 12/10/18 based on PACER.

So it looks like on the 11th I will know if they will discharge some, all or none of my student loans.

Reflection....................even if it doesn't work and every lawyer that I spoke to said that it wouldn't work so it was no reason to try but my rationale is that at 78,000.00 it was definitely worth a try and the worst that can happen is I'll still owe it (WHICH DUH I WAS GOING TO OWE IT EITHER WAY) but at least I will be able to know that I have done everything I could to get from up under this soul crushing debt.

I will keep you updated on what happens on the 11th.

[Anonymous]

Actually believe it or not I pulled my report and all of my student loans say paid chapter 7 !!
I’m going to wait it out and see if it hasn’t updated

[Anonymous]

Also : I had a lawyer and just discharged nov 2. I’m in Ohio. I tried to log into my student loan accused they say paid as well.
I’m not sure how ?! I didn’t request it maybe my attorney?? I’ll update

[GoingForTheMortgage]

Mine said that too, but then that part dropped off after my discharge. My loans were not discharged.

[Anonymous]

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@GoingForTheMortgage wrote:
Mine said that too, but then that part dropped off after my discharge. My loans were not discharged.

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Mine said that also.

One was a personal student loan through Discover that my father co-signed w/ me.  It dropped off my credit report entirely, but then it put my father on the hook to pay the rest off so I've been whittling away at that the past few years.

The others were federal student loans that as soon as the discharge went through popped back up and were also not discharged.