Legal Question in Bankruptcy in Minnesota

Re: student loans

What I make up in my head about you is that you are a student at the Minneapolis College of Art and Design. I have done bankruptcies for their graduates before.

You can thank Congress and the credit industry lobbyists for the new law that was passed in 2005. Some of us call it BARF, for bankruptcy reform act, although some assign the letters different meanings that I can't repeat.

Under the previous law federally guaranteed student loans were not dischargeable; but now under the new law all student loans are not dischargeable. There is a hardship exception, but if you are not severely disabled in some way, that exception probably does not apply to you.

I have been hearing from some of my bankruptcy buddies that there is another exception buried deep in the language of the new act - an exception for trade schools or vocational training. If you have been going to that kind of school, call me for a consult and we'll dig into the statute book and see what it says.

This response is for general information purposes only and does not create an attorney-client relationship. You are advised to seek the advice of the attorney of your choice concerning the details of your case.