Private Student Loans can be discharged . Who knew?

[Anonymous]

Huff post link...
http://www.huffingtonpost.com/steve-rhode/some-private-student-loan_b_3652935.html

Blurb: Under the heading of don't believe everything you think, it appears many people continue to erroneously believe student loans can't be discharged in bankruptcy. And a recent influx of student loan assistance companies that are selling their help are also perpetuating that myth.


Looks like this is more geared to fly by night faux schools. But still it's important to be aware of the possibility.

[Anonymous]

Most student loans are not private, though (and private ones come with a heap of other challenges).

[Anonymous]

Anonymous wrote:Most student loans are not private, though (and private ones come with a heap of other challenges).

But still for people that get tricked into University of Phoenix this is good to know

[Anonymous]

So I guess that means my loans from Harvard can be discharged too? Great ?

[Anonymous]

Great. Dodge your debt and let someone else pick up the tab.

[Anonymous]

While the article is technically correct, it seems to be of very limited applicability. In order for section 523(a)(8) discharge provision NOT to apply, one would have had to somehow manage to get loans to attend non-eligible educational institution. Since most educational institutions, even 2-year trade schools and on-line schools, are in fact "eligible" for Title IV funds, this exception would be exceedingly rare. For a poster above, the University of Phoenix is in fact very much an eligible institution.

[Anonymous]

Anonymous wrote:So I guess that means my loans from Harvard can be discharged too? Great ?

If you got your loans from Harvard, one would think you'd be capable of reading the article and understanding what it means?

[Anonymous]

Anonymous wrote:While the article is technically correct, it seems to be of very limited applicability. In order for section 523(a)(8) discharge provision NOT to apply, one would have had to somehow manage to get loans to attend non-eligible educational institution. Since most educational institutions, even 2-year trade schools and on-line schools, are in fact "eligible" for Title IV funds, this exception would be exceedingly rare. For a poster above, the University of Phoenix is in fact very much an eligible institution.

+1. Debtors should not get excited.

[Anonymous]

That dude is a bottom-feeder lead generator. It's ridiculous to say that any student loans are a "snap" to discharge, either in bankruptcy or through the Department of Education. The standards are very high. It's true that there are some people who qualify, and I can believe that not enough are trying, but the article is just linkbait for bottom-feeder debt collectors.

[Anonymous]

Anonymous wrote:While the article is technically correct, it seems to be of very limited applicability. In order for section 523(a)(8) discharge provision NOT to apply, one would have had to somehow manage to get loans to attend non-eligible educational institution. Since most educational institutions, even 2-year trade schools and on-line schools, are in fact "eligible" for Title IV funds, this exception would be exceedingly rare. For a poster above, the University of Phoenix is in fact very much an eligible institution.

Actually a friend attended a school for 2 years in WV that was shut down. They started chasing her for the debit. ...but the school also came under investigation by WV attorney general office. Maybe that's why the debt is gone now