Legal Question in Bankruptcy in Maryland

loans--are they dischargeable?

i would like to know whether subsidized and unsubsidized loans as well as private bank loans are dischargeable...(chapter 7 and 13) if the loanee has been unable to find employment that would allow repayment.


Asked on 12/19/98, 11:31 am

2 Answers from Attorneys
Brett Weiss Brett Weiss, P.C.

Re: loans--are they dischargeable?

Assuming you're referring to student loans, your employment situation is irrelevant to a determination of whether the loan can be discharged. Thanks to recent legislation passed last October, most student loans are now non-dischargeable except where their repayment would cause "undue hardship"--a virtually impossible standard for most to meet.

Private bank loans, unless guaranteed by the government, are normally dischargeable.

Brett

[email protected]

http://www.erols.com/lawyer

(301) 924-4400

Brett Weiss

Brett Weiss, P.C.

18200 Littlebrooke Drive


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Answered on 1/24/99, 7:20 pm
Olivier Long Law Office of Olivier Denier Long

Re: loans--are they dischargeable?

If the loan is secured, the security must be reaffirmed or surrendered or re-negotiated. If the loan is unsecured, it may dischargeable. Most student loans are not dischargeable.

Olivier Long, Esq. Telephone: 703-591-1600

Member of the Maryland Bar

Olivier Long

Law Offices of Olivier Denier Long

10500 Sager Avenue, #B


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Answered on 1/25/99, 7:16 am


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