Showing results for 
Search instead for 
Did you mean: 

Fedloan servicing

Established Member

Fedloan servicing

Does anyone have any experience with Fedloan servicing and ch. 7? I known that most student loans are not dischargable and I've been planning on starting repayment after discharge.

Now out of the blue three weeks before discharge they've updated to closed, zero balance and included in bankruptcy. Is this accurate? How could it be a zero balance? Looking for others expierence with fedloan serv. Thanks for the help!
Message 1 of 13

Re: Fedloan servicing

I am having the same results. The only thing that is different is I had my 341 Meeting on 11/02 and a continuance was issued due to some additional document request. I was informed on Friday after providing the documents that I would no longer had to attend the continuance and that I will be discharged possibly the first week of January. 


The changes to Fedloan took place for me a few days after my original 341 meeting.  All my loans updated to closed, zero balance and included in bankruptcy. I wonder if after discharge will it revert back? Any thoughts?

~Rebuilding Our Lives~
Message 2 of 13
Established Contributor

Re: Fedloan servicing

They are not going anywhere just because of bankruptcy..extreme circumstances and Bk is not one of them so yes you're stuck with them.
Message 3 of 13
Valued Contributor

Re: Fedloan servicing

It is normal for them to update it, but, rest assured, as soon as your BK is over, it will switch back.


One thing about student loan servicers is that, depending on when your payment due date is in relation to your discharge date, you may have to pay that month's student loan payment, even if there was not enough time to send you notice.  This happened with my wife - dicharged on the 15th and student loan due on the 26th - we had to pay on the 26th, even though we didn't get the letter yet (I just happened to log on to check and I am glad I did).

BK Discharge 2/11/14

Currently in the garden.
Message 4 of 13
Valued Member

Re: Fedloan servicing



Mine are reflecting the same thing. According to my attorney, I will never be able to pay my student loans off if I remain at my same job. I have been there for 7 years and in my state, big incomes are rare within the state but relocation is an option but requires some major savings. I wonder too if they will pop back up? I heard that the Brunner (spelling) test is done by the court to see if it would cause or has caused an undue hardship. If you get an answer please post as I am recently discharged.

CH 13 03/15 converted to CH7 011/16 discharged 01/17.

Message 5 of 13
Moderator Emerita

Re: Fedloan servicing

Refer to the post above you by 0REDSOX7 for accurate info.


Do some research - you will see it is almost impossible to pass the Brunner test. In other words, expect that your student loans are not dischargeable and you will need to do what you have to do to pay them off. 

Message 6 of 13
Established Member

Re: Fedloan servicing

I know they aren't dischargable, I was just surprised they reported it as included in bankruptcy. My theory is that since fedloan servicing is connected to the department of education they closed off their part and will send the loan back to department of Ed. They will probably re-open with a new account number. Only a geuss though, discharge is only about 2 weeks away so I'll find out soon!
Message 7 of 13
Senior Contributor

Re: Fedloan servicing

That's weird. Mine didn't show any changes at all when I filed last year. I have two older Dept of Ed loans that had been consolidated years ago, and a more recent Direct Loan. Whatever it shows, I agree with everyone here they are most definitely not dischargeable in BK. 

Current Scores: EQ 679;TU 647; EX 679 Gardening since 11/7/18
Beginning Scores-- EQ 632; TU 576; EX 619 FICO 08 (06/13/16) - BK7 discharged 11/2015
Message 8 of 13
Valued Member

Re: Fedloan servicing

Curious to know if your FedLoan came back up?  Mine is showing as zero and included now.  

Message 9 of 13
Community Leader
Super Contributor

Re: Fedloan servicing

I also have FedLoan Servicing for my school loans. I found them very easy to deal with during and after my BK. During the BK process, my loans did as Discharged etc... even though they weren't (you need very extreme case to have them discharged).

I called them when I noticed it, and they said they will reverse it once the DC is final. They did, and they were very good about restarting a payment arrangement with me. I told what I could afford coming right out of BK for a few years, and that was that.

Shortly after DC, they removed anything negative on the acct, and brought it to a current/paid status (I never had lates, I was only in deferment for like 4 years prior LOL), and my new scheduled payment was showing.

I had a very good experience with them, as much as you can have going thru a BK, but they were very willing to work with me on starting payments again, and accepted what I could afford at the time to pay them.

My rebuild worked for me, but won't necessarily work for you!
BK7 D/C- 08/2013
Message 10 of 13
Advertiser Disclosure: The offers that appear on this site are from third party advertisers from whom FICO receives compensation.