Is Student Loan Debt Dischargeable in Bankruptcy Filings
A San Francisco bankruptcy attorney speaks a bit about student loan debt....
There have been many students in the San Francisco Bay Area that have asked me, a San Francisco bankruptcy attorney, whether or not their student loan debts are dischargeable in a Chapter 13 or Chapter 11 bankruptcy or whether or not they are included in the debt limits. First, a person can file a Chapter 13 bankruptcy case if they have noncontingent, liquidated unsecured debts less than $336,900 and noncontingent, liquidate secured debts of less than $1,010,650.
Like any other debt, student loans actually do factor into the unsecured debt limits for a Chapter 13 bankruptcy and Chapter 11 bankruptcy. It does not matter that student loans are non-dischargeable debts, they would still be included in the calculation for the debt limits. The only way the student loan (or any) debt would not count towards the unsecured debt limit in a Chapter 13 is if one of the following occurred:
1. They already had a judgment against you and created a lien against assets sufficient to cover the amount of the student loan. In this case, that amount would count towards the secured debt limit.
2. The debt is contingent, or you don’t owe it unless some pre-condition occurs; or
3. The debt is unliquidated, or there is no way to readily determine the amount owed.
If you have questions regarding bankruptcy in San Francisco or bankruptcy in the greater Bay Area please contact our San Francisco Bankruptcy Attorneys at (415) 946-8882 for a free consultation or visit www.bkanswers.com and we can connect you with one of our experienced San Francisco Bankruptcy Attorneys. After you have spoken with one of our Bay Area bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of Bankruptcy Lawyers, Bankruptcy Customer Care Specialists and Bankuptcy staff supporting San Francisco and Bay Area consumers in debt can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Francisco Bay Area!
