QUESTION

Can Sallie Mae private loans be in a bankruptcy?

Asked on Sep 19th, 2012 on Bankruptcy - Kansas
More details to this question:
Sallie Mae is asking too much money from us a month and we don't know what to do.
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10 ANSWERS

Try to refi, talk to a mortgage broker. Home loans can be in bankruptcy. They will not be discharged.
Answered on Sep 27th, 2012 at 4:46 PM

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Bankruptcy Attorney serving Bellevue, WA at Wild Sky Law Group, PLLC
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Unfortunately, student loans are almost never dischargeable in bankruptcy. You may get relief, however, by eliminating your other debt so you can pay the student loans. Also, sometimes Sallie Mae will do income-based repayments if you provide the proper documentation.
Answered on Sep 24th, 2012 at 7:15 PM

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No, generally not.
Answered on Sep 24th, 2012 at 5:35 PM

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When you file bankruptcy, you must list all of your debt. Not every debt gets discharged however. If your sallie mae loan is a student loan (and I assume it is) it is very unlikely that it will be discharged. It is possible, but the threshold is very high. Consult a bankruptcy attorney to discuss the requirements and whether you meet them.
Answered on Sep 20th, 2012 at 3:44 PM

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The general answer to your question is no (especially if it's a federally backed loan); there is a very limited and rare circumstances in which student loans are dischargeable in bankruptcy. You should seek a full legal consultation.
Answered on Sep 20th, 2012 at 3:44 PM

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Student loans are generally not discharged in bankruptcy. But the bankruptcy protection one receives still applies to student loans, meaning student loan companies cannot sue or garnish your wages while you are in bankruptcy.
Answered on Sep 20th, 2012 at 1:05 PM

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Bankruptcy Attorney serving Las Vegas, NV
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Yes, you may list Sallie May loans in a bankruptcy. In fact, you must list all debt in bankruptcy. However, federally guaranteed student loans are nondischargeable in bankruptcy. You must bring a special adversary complaint seeking to discharge the debt. The only way to be successful at this is to show significant hardship-not just financial but something that evidences that you will never be able to pay the debt. Examples would be where you must care for a disabled spouse or child, or are disabled yourself and unable to work.
Answered on Sep 20th, 2012 at 12:18 PM

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Chapter 7 Bankruptcy Attorney serving Santa Monica, CA at Law Offices of Glenn T. Litwak
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No. Student loans are not dischargeable in bankruptcy unless you can prove you cannot sustain a minimal standard of living, you have no job prospects and that situation is permanent.
Answered on Sep 20th, 2012 at 12:06 PM

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Bankruptcy Attorney serving Grand Rapids, MI at David Andersen & Associates, PC
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Student loans are very difficult to discharge in bankruptcy. You could file a chapter 13 bankruptcy to lower the payments for 5 years but you would still owe on the student loan (minus any payments made).
Answered on Sep 20th, 2012 at 12:05 PM

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Bankruptcy Attorney serving Overland Park, KS at The Smalley Law Firm, LLC
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Generally private student loans also cannot be discharged in bankruptcy.
Answered on Sep 20th, 2012 at 12:05 PM

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