Found an issue on this page? Let us know and we will look into it as soon as possible.
Can my sister and I file bankruptcy of any kind connected to a Chase private student loan?
Anonymous2 views5 answers
My sister consigned for the loan. I was making full payments best I could to keep the delinquency under the allotted days. Due to financial issues I fell behind and tried to make the last payment but missed it by two days. The bank would never lower the monthly payment even when I was unemployed. I'm currently working but still didn't even qualify for any lower payment options. The private student loan is now charged off. This along with smaller debts have began to snowball. I am someone who tries my best to pay my debts but I have hit a wall and don't know what else to do. I appreciate any advice concerning this matter. Thank you in advance.
If this is in a private loan, not federal, it's either pay it or don't. Private loans lack the income driving repayment plans which exist for federal loans. Discharging the student loan in bankruptcy requires a showing of undue hardship, which sounds innocent enough, but actually requires a showing of extreme circumstances. Consult with a local consumer bankruptcy attorney for more details. In the meantime, if you are sued by the National Collegiate Student Loan Trust, an attorney should be able to defeat the lawsuit or at least negotiate favorable terms for settlement.
It is extraordinarily difficult to discharge a student loan in bankruptcy, whether it's private or not. There may be some defenses to collection, but you need to speak to an attorney who can discuss those with you. I suggest you get a free consultation with a local debt Collection attorney or bankruptcy attorney.
Robert W GambrellChapter 13 Bankruptcy AttorneyOxford, MS ·
Your original question was, "Can my sister and I file bankruptcy of any kind connected to a Chase private student loan?" The answer is yes you and your sister can file, but you and your sister cannot file a joint case. Each of you must file a separate bankruptcy.
The real question is, can you and your sister discharge the debt. Provided the student loan is private student loan, you and/or you sister may be able to discharge all or part of the student loan, but as others have stated, discharge is difficult. Our firm has been successful in discharging a portion of the private student loans for our clients and successful in lowering the interest rate.
The problem is that to do this, litigation must be filed in the bankruptcy and there are additional attorney's fees. Thus, the amount at stake needs to be high enough to warrant litigation.
Generally bankruptcy does not discharge student loan debt. There are exceptions but hey are quite limited. Make an appointment for a free consultation with a BK lawyer you can find locally through .
As others have pointed out, obtaining a discharge of student loans can be very challenging but it's worth your time to speak to an attorney. Most bankruptcy attorneys offer an initial free consultation.
You may also want to speak to a consumer rights attorney who has experience dealing with private student loan collections. You may have options other than bankruptcy protection.
