• FreeAdvice has a new Terms of Service and Privacy Policy, effective May 25, 2018.
    By continuing to use this site, you are consenting to our Terms of Service and use of cookies.

discharging student loans: still possible after x years in repayment status?

Accident - Bankruptcy - Criminal Law / DUI - Business - Consumer - Employment - Family - Immigration - Real Estate - Tax - Traffic - Wills   Please click a topic or scroll down for more.



What is the name of your state? Washington State

A few years ago, you could discharge certain student loans in ch. 7 (without showing "hardship") IF your loan had been in "repayment" status, i.e. not in deferment or forbearance, for seven years from the time repayment first began. I just checked out current Title 11, § 523 (a)(8) and now see that there is no provision in the text of that statute (the portion of the Bankruptcy statute that deals with nondischargability of student loans). I therefore thought that discharge was no longer possible under the provision I discuss above. HOWEVER, the "Senate Notes" at the end of current §523, discussing the current law when enacted, specifically states that paragraph 8 (the paragraph referred to above) "follows generally current law and excerpts from discharge student loans UNTIL SUCH LOANS HAVE BEEN DUE AND OWING FOR FIVE YEARS." Can anyone tell me what the current situation is, in light of the apparent contradiction I have just cited?


Find the Right Lawyer for Your Legal Issue!

Fast, Free, and Confidential