Student Loan Repayment Before Discharge

[NewChanges4]

I'm sure I was just stressed and experienced some type of hysterical deafness during my original meeting with my BK attorney because I could have SWORN she advised me that my student loans would be deferred while I was in my Ch. 13. However, this weekend I received notification from Citibank that my loan repayment would begin July 1st. I simply CANNOT afford to start repayment now! My payment to the trustee is at $711/mo and my husband and I have learned how to live with that payment with very little interruption to our normal lives. However, my student loan payments are $1,100/mo. Where do they expect that to come from? My magic bag of goodies???

I know I need to contact my attorney but something tells me I will not be happy with what they have to say. However, I will be calling them in the morning. In the meantime I wanted to get smoe feedback from all of you.

Thanks in advance!

[NewChanges4]

I should probably add that I've already been confirmed.

[despritfreya]

During the course of your 13 the student loan lender cannot require payments. The lender may (or may not) file a claim - assuming you properly listed the lender with a correct address. The statement you received was probably sent out by mistake. You or your attorney should contact the lender and remind them about the bk.

Des.

[NewChanges4]

Thank you, Des! That is a load off my mind!

[nsupanda]

I'm confused... I thought you couldn't put your student loans in with your bk? We just had our 341 meeting. I pay $141 per month to my student loans and it would be REALLY nice to get those deferred until the bk is over in 5 years. Our bk payment is so high and to have that $141 cushion would be amazing to have every month. So, if I called my student loan company they have to defer payments for me???

[despritfreya]

I'm confused... I thought you couldn't put your student loans in with your bk?. . . I pay $141 per month to my student loans. . .

Unless your district allows such payments using the notion that the debt is a "long term obligation" you should not be diverting money from your 13 Plan to pay the loan. If you are doing so and no one objects then your district may be in the minority that allows such payments. Most districts treat the loans like any other debt. It is an unsecured debt that will simply survive the bk therefore, the creditor may file a claim and participate in whatever distribution there is. Once the case is over the lender may return to collecting directly from the debtor.

Check with your attorney or, if you don't have one, your Trustee.

Des.