student loan 10 year rule

May 14th, 2008 by Questions

when can you included a student loan in a bankruptcy, I heard that the law recently changed from 10yrs down to 8yrs after the last day of your schooling you can include it. Is this true????..

Posted from: British Columbia

Questions

One Response to “student loan 10 year rule”


May 15, 2008 at 9:49 am, Barton Goth GCO Bankruptcy Trustees said:

A student loan is always included in a bankruptcy, but it can only be cleared if you have been out of school for greater than 10 years.

There are changes in the works that will reduce that down to 7 years, but they are not active law (rumor has it they will be enacted in November 2008, but I have heard these rumors for 2 years so I have know way of knowing if this is factual or not).

If you want to be kept upto date concerning these changes go to the http://www.bankruptcy-canada.ca/student-loans-bankruptcy-newsletter.htm and you will find a place you can sign up for an e-newsletter that will be sending around updates concerning this legislation.

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