Student Loan

August 11th, 2010 by Questions

I have ceased to be a full time student in July 2000. I had to claim bankruptcy in 2005. This did not include my student loans. I have slowly climbed my way back and now I have to deal with this student loan. I have contributed my Income Tax for years and paid off one of the loans and now I am starting to get calls on the remaining loan. What can I do I tried to talk to one gentlemen from the collections but he wants the whole thing paid yesterday……impossible…….Is my 1st bankruptcy still in affect can I approach someone to assist with this . Thanks so much for you advice. Brenda

Posted from: Ontario

Questions

One Response to “Student Loan”



, A licensed trustee said:

The first thing you need to do is contact the National Student Loan Centre to determine what your “end of study date” is – it may not be when you ceased to be a full-time student so you need to contact the Centre and ask what “they” think it is.

If more than 7 years have passed since your end of study date you have the right to apply to the Court to have your student loans retro-actively included in the bankruptcy you completed in 2005. It will cost about $2,500 to bring this motion before the Court – you should hire a lawyer or ask the trustee that handled your bankruptcy if they will do it (they will probably tell you hire a lawyer) – it is cheaper.

Just beacuse the 7 years have passed doesn’t mean the motion will be granted. The Court will assess your current financial situation to determine what’s fair in your case. The Court might discharge the whole debt, or they may tell you to repay a portion (perhaps all) of what you owe – it literally depends on your current situation.

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