Question Sallie Mae and Co-signers

[biggomez777]

Just got off the phone w/Sallie Mae...tell me if this sounds right guys.

Filed no asset CH7. Called them, made sure that my loans were put in to deferment for the period of the BK. They said sure, they'll be out of deferment when your BK is finished. I now find out that they've transferred all of my loans over to my co-signers(parents) and taken my name off of the loans. While I can see that with other types of loans(dis-chargeable types), is this standard operating procedure for student loan companies?

I had every intention of paying off those loans as soon as the BK was done...but seeing as there is no reaffirmation process for student loans...how would I have gone about telling them I wanted to continue to pay them in my name? Any info would be helpful, I'm confused on why they did this.

[JRScott]

I'm confused too, student loans are not dischargeable. Unless of course they messed up the original loans and they were signature loans and not student loans.....

[biggomez777]

Hmm, isn't a signature student loan the same thing as a student loan?

[JRScott]

I'm not sure, its a legal distinction

[BROKENN]

Regardless,aren't they kinda of doing what you wanted? Student loans shouldn't bring up a red flag on BK anyway.......

[biggomez777]

No, what I wanted was for my loans to go into deferment until the BK was over, same as the federal ones. Instead, my name has been removed entirely from the Sallie Mae loans, making them not mine for the rest of the loan, and putting it on my parents. NOT what I wanted. I simply wanted a break during the BK. They(Sallie Mae) are now going after my parents for the monthly loan payments. Again, NOT what I wanted.

[BROKENN]

OK, I see it says after BK you can defer when I reread.

You are so close..... have you logged onto Pacer to see what it says about your 341? Maybe your answer is in there.

[AngelinaCatHub]

I, like a fool, cosigned for at that time, a friend, for a car. He stopped paying on this car and I was bk bound anyway. My part was discharged, and he got the whole brunt of the total amount in his name and a default judgment. So, the reason for a cosigner is valid, they are as responsible 'legally' as the signer. You were the signer, when they saw bk, they simply put the responsibility upon the cosigner. That's the way I see it, and if you were going to pay them anyway, just pay your parents for the payment.

I am sure all you wanted to do is stall a few payments, not transfer them to the folks. It would have been better I guess, just not to have said anything until you were discharged, then tell them to put the late payments at the end of the loan. 'Hub