School

[zoomzoom]

We are only 11 months away from our discharge - it's been a long 2 years! I want to desperately go back to school before the end of the next year to pursue a MBA. Turns out most of these online schools offer a 20-25% discount for military people (spouses included) and we'd like to take advantage of this, before my husband retires (in about 1.5 year). Of course, I'll need to take out a student loan. My question is... is this ok to do? I know student loans are not credit based, but I have currently one subsidized and one unsubsidized loans that are PART of my Ch 13 plan. Will we get in trouble? Thanks.

[lrprn]

Student loan lenders are happy to lend you money AFTER your bankruptcy is discharged. Being in an active Ch 13 case and that you currently have student loans in forebearance now are most likely to cause you problems finding enough loan dollars to make going back to school possible.

Although there's no specific mention in the current bk law against taking on new debt while in Ch 13, because your trustee is in charge of your financial affairs throughout your bankruptcy, it's a good idea to get his/her permission ahead of time to take on new debt.

Some trustees are very sticky about their filers taking on new debt during the bankruptcy, some aren't. Your lawyer can guide you about whether your trustee is one that needs to be told about your plans and give it his/her blessing first.

Good luck - I hope everything works out for you!