Who will be responsible for the loan after bankruptcy? 25 Answers as of April 08, 2014

Ex-husband filed bankruptcy after divorce on daughter's student loan and it wiped out everything. Can they come after the daughter? Who is responsible for the loan?

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EDWARD P RUSSELL | EDWARD P RUSSELL
Yes. The bankruptcy discharges the debt only against the person filing the bankruptcy.
Answer Applies to: Minnesota
Replied: 4/8/2014
Idaho Bankruptcy Law | Paul Ross
Student loans are typically not discharged as part of a bankruptcy. Therefore your ex-husband would likely still be liable on the student loan. Since your daughter did not file bankruptcy, then she would still be liable (and would likely still be even if she did file bankruptcy).
Answer Applies to: Idaho
Replied: 4/8/2014
Stephens Gourley & Bywater | David A. Stephens
Anyone that signed on the loan is liable for it.
Answer Applies to: Nevada
Replied: 4/8/2014
GARCIA & GONZALES, P.C.
GARCIA & GONZALES, P.C. | Richard N. Gonzales
Student Loans are typically not dischargeable unless the debtor can prove an undue hardship on him or his dependents. He would be obligated to file an Adversary Proceeding in his Chapter 7 case, and get a Court Oder discharging the student loan. I would look at his BK filing if I were you, or pay an attorney to help you with the matter. The daughter will always be liable on the student loans. Unless your ex-husband received a court order discharging the student loans, he is still liable on these loans.
Answer Applies to: Colorado
Replied: 4/7/2014
Janet A. Lawson Bankruptcy Attorney
Janet A. Lawson Bankruptcy Attorney | Janet Lawson
Unless it was a private loan the bankruptcy did not wipe it out. He is still responsible and they will also come after your daughter if she signed the loan docs.
Answer Applies to: California
Replied: 4/7/2014
    Law Office of Marlin Branstetter
    Law Office of Marlin Branstetter | Marlin Branstetter
    Student loans are normally not discharged in bankruptcy so it is likely your husband is still responsible. If your daughter signed for the loan she would be responsible even if your husband managed to get the loan discharged. The only person protected in bankruptcy is the person who files.
    Answer Applies to: California
    Replied: 4/7/2014
    Law Office of Susan G. Taylor
    Law Office of Susan G. Taylor | Susan G. Taylor
    Student loans go through bankruptcy unaffected, although they are listed on Schedule F, unsecured non-priority, just like credit cards.
    Answer Applies to: Texas
    Replied: 4/7/2014
    Danville Law Group | Scott Jordan
    Student loans are not discharged in bankruptcy. If your ex was the signor on the loan, he is still responsible for it. They can, however, choose to go after the co-signor as well.
    Answer Applies to: California
    Replied: 4/7/2014
    A Fresh Start
    A Fresh Start | Dorothy G Bunce
    Bankruptcy would not affect the responsibility for a student loan unless your ex spouse obtained a special court order (not the regular discharge) saying that the student loan was discharged. In most co-signed student loans, both the student & the parent are 100% responsible for paying the debt.
    Answer Applies to: Nevada
    Replied: 4/7/2014
    Cameron Totten | Cameron Totten
    Generally, student loan debt is not dischargeable. Thus, your ex-husband's bankruptcy probably did not get rid of that debt for him. Accordingly, the bankruptcy likely had no impact on the debt and whoever could have been held liable for payment of the debt before the bankruptcy can still be held liable for it.
    Answer Applies to: California
    Replied: 4/7/2014
    Heineman Law Office
    Heineman Law Office | Jeff Heineman
    Just because your Ex filed on the student loan does not mean his liability is eliminated. In general, no individual can discharge one's liability for a student loan through bankruptcy. However, all parties that sign for the student loan are liable for the student loan. So, you will need to check the documents that were signed.
    Answer Applies to: Idaho
    Replied: 4/7/2014
    Brent George Law | Brent D. George
    Your daughter is still legally responsible for the loan if she was a Co-borrower in connection with the loan. While your ex-husband may think his bankruptcy discharged his responsibility for the student loan debt there is a good chance he is still liable.
    Answer Applies to: California
    Replied: 4/7/2014
    Law Office of Lynnmarie A. Johnson
    Law Office of Lynnmarie A. Johnson | Lynnmarie Johnson
    It is almost impossible to discharge a student loan, but he doesn't have anything, they will go after your daughter.
    Answer Applies to: Michigan
    Replied: 4/7/2014
    Goldsmith & Guymon
    Goldsmith & Guymon | Marjorie Guymon
    Student loans are nondischargeable. So he is still liable to pay as much as anyone else who signed on the note.
    Answer Applies to: Nevada
    Replied: 4/7/2014
    Law Offices of David H. Relkin
    Law Offices of David H. Relkin | David H. Relkin
    In order to answer this question definitively, I would need to see the Bankruptcy docket and know the terms of the student loan. If your husband was primarily liable on the loan and your daughter was not a guarantor, the loan would be wiped out, based on your comment that the loan was expunged. However, student loans are no longer dischargable in bankruptcy, so I assume it was the other way around: your daughter was the primary and your ex-husband was secondarily liable. Based on this rationale, your daughter will continue to be liable on the loan. It remains to be seen what position the lender takes; that is if they continue to send statements to your daughter. Frankly, you should hire someone familiar with Bankruptcy litigation (as I am) to give you an answer you can rely on.
    Answer Applies to: New York
    Replied: 4/7/2014
    Ronald K. Nims LLC | Ronald K. Nims
    Regardless of what he told you, bankruptcy doesn't wipe out student loans. If your ex husband and your daughter were jointly responsible for the student loan before his bankruptcy, they'll be jointly responsible now.
    Answer Applies to: Ohio
    Replied: 4/7/2014
    The Law Office of Darren Aronow, PC
    The Law Office of Darren Aronow, PC | Darren Aronow
    Wiping out a student loan is extremely difficult unless it was an unaccredited school or something, but even if it was wiped out, any other co signors of the loan would remain liable.
    Answer Applies to: New York
    Replied: 4/7/2014
    Law Office of Shawn N. Wright | Shawn N. Wright
    I am not sure how his bankruptcy could have wiped out a student loan. Student loans cannot be wiped out (discharged) without a special procedure called an adversary proceeding, and you must show that the student loan has caused an undue hardship, which is extremely difficult to prove. In any event, the daughter's liability would not be discharged (wiped out) if her father filed a bankruptcy in his name. The daughter still owes this money.
    Answer Applies to: Pennsylvania
    Replied: 4/7/2014
    Law Office of Michael Johnson
    Law Office of Michael Johnson | Michael Johnson
    Student loans are not dischargeable unless many extra actions had to take place. Even if that was the case the loans were cosigned by husband and your daughter is still liable.
    Answer Applies to: Florida
    Replied: 4/7/2014
    Ferguson & Ferguson
    Ferguson & Ferguson | Randy W. Ferguson
    Yes if she signed on the loan.
    Answer Applies to: Alabama
    Replied: 4/4/2014
    Tokarska Law Center
    Tokarska Law Center | Kathryn U. Tokarska
    Student loans are special in that they are not dischargeable in bankruptcy unless the debtor takes an extra step and litigates the issue and successfully proves undue hardship. You will have to look up the case www.pacer.gov to see if an adversarial case was filed claiming undue hardship. If his bankruptcy was a chapter 7 and it was completed in 3 months without anything more (no lawsuit to determine dischargeability of student loans) than the debt remains the obligation of whoever had the loans before the bankruptcy was filed. If he co-signed, he's 100% liable just as your daughter is 100% liable. If this was a parent loan, where the child was not obligated to repay the loan then he remains liable and your daughter is not liable. In other words, nothing has changed unless he successfully obtained a discharge based on undue hardship.
    Answer Applies to: California
    Replied: 4/4/2014
    Ryan Legal Services, Inc.
    Ryan Legal Services, Inc. | Kevin Ryan
    A student loan is a debt which can't be discharged. Unless your ex husband sued the lender and was successful in establishing an "undue hardship" making it dischargeable, he's still fully liable.
    Answer Applies to: Ohio
    Replied: 4/4/2014
    Law Offices of Matthew J. O'Connor
    Law Offices of Matthew J. O'Connor | Matthew J. O'Connor
    A student loan is generally never discharged in Chapter 7 bankruptcy, but you would need to check his discharge order to be certain. Additionally, it would depend on who signed or co-signed on the loan, as well as what your divorce decree states in regard to the responsibility for the loan. The divorce decree stands regardless of bankruptcy. If he does not make payments on the loan, you may want to speak with an attorney about a contempt petition.
    Answer Applies to: Illinois
    Replied: 4/4/2014
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