Thank you for giving me the opportunity to assist you. I encourage you to ask me for clarification, if you are not clear with my Answer.
Question: If I declared chapter 7 bankruptcy and it was discharged in June of last year, would my private student loan of $50,000 be included?
Response 1: No, it would not be included.
Before the bankruptcy my loan was through Chase and then went into default and then into collections. I did not hear from the collection agency since the bankruptcy, plus I am in school full time. Would my private loan be dismissed in the bankruptcy?
Response 2: Unfortunately, no it would not be discharged in bankruptcy.
I understand federal loans are not. Also, which credit agency is more relevant? Trans, Exper, or Equifax? This is what my credit report states: TransUnion Experian Equifax Past Due: $0 $1825 $0 High Balance: $42101 $42101 $0 Terms: 0 287 0 Limit: $0 $0 $0 Payment: $0 $480 $0 Opened: 07/25/2007 07/01/2007 07/01/2007 Reported: 01/31/2009 12/31/2008 03/01/2009 Responsibility: Individual Individual Individual Remarks: [TransUnion] Chapter 7 bankruptcy [Experian] [Equifax] Bankruptcy Chapter 7 Included in bankruptcy Optional Information: State/Country relating to question: South Carolina
Response 3: Experian is usually more accurate and tends to have more up to date information than the rest. Unfortunately, the fact that the loan is being reported as being discharged in bankruptcy does not mean that loan is actually discharged in bankruptcy. As you are aware, just because something is reported on your credit report does not make it automatically true. Unless you filed a separate proceeding (adversary proceeding) in your bankruptcy case to determine the dischargeability of the student loans and the Bankruptcy Court ruled in your favor that the loans are dischargeable, the student loans are not discharged in your bankruptcy. See 11 U.S.C. Section 523(a)(8).
If you are in school, the loans are in deferment. That is probably why you have not heard from the lender or the collection agency. The lender or its collector cannot initiate collection of the debt when you are still in school full-time.