Forum Rules (Everyone Must Read!!!) (updated: 04/28/2015)

Welcome to the Bankruptcy Forum. Bankruptcy (BK) Forum is known as and will be referred to as BKF hereinafter. In order to ensure a long term success of our vibrant community, we have established certain rules and guidelines to which everyone must adhere to. Please take your time to carefully read our rules, before you start to participate in the community.

Things you agree to do: (BKF) users agree to use the search function before starting a new thread. This prevents duplicate discussions and allows for better organized topics.

All BKF users agree to read the sticky posts which may be available at the top of a forum page. These Sticky posts often contain valuable information. They may also outline more rules and guidelines specific for that particular forum, stickies are put in place by that forums moderator(s) or admin(s).

Things you agree not to do:

All BKF users agree not to call people names or write a post simply to make a personal attack, or get a negative reaction; this behavior is not allowed on our forum. The use of derogatory language aimed at anyone will be severely dealt with. There is no need to agree with each other, or to even like each other. However, by signing onto you agree to treat each member and guest with the respect they deserve. No threats or personal attacks will be allowed.

All BKF users agree not to discuss, engage, or encourage any behavior or activity which violates the law. Discussion of drugs, violence, murder, theft, vandalism, fraud or any other issue which could be used to help individuals break the law is strictly forbidden.

All BKF users agree not to "bump" old threads, unless there is a specific benefit to the community by doing so. But in most cases, please don't post in very old threads, instead start new threads.

All BKF users agree not to attempt/use another members account. It is against BKF rules to use any account other than your own. Impersonating another member will result in an immediate ban. It is also against the rules to open more than one account in your own name without permission from a moderator or administrator. If you have been banned for any reason, it is against the rules to open another account. If you were banned temporarily and you are caught using another account you will be banned permanently. Choosing a moniker which is similar in either sound or spelling as a moderator or administrator is strictly forbidden.

All BKF users agree not to private message any moderator, admin, or other member with questions related to their personal circumstances (Questions about the forum or issues with the forum are ok). This forum only works when members share their experience and insights with everyone.

Things you agree not to post:
All BKF users agree not to post any derogatory/racist/or sexist remarks. This includes attachments, links and all information contained within posts, signatures, and avatars, failure to comply with this rule will result in a permanent ban.

All BKF users agree not to post any copyrighted or trademarked information without the express written permission of the owner(s) / proper citation of source.

All BKF users agree not to post any real names, addresses, telephone numbers, email addresses, social security numbers, or any other personal details (their own or other people's).

All BKF users agree not to post links, pictures, attachments, videos, or the like of pornographic content, objectionable material or extreme violence, whether cartoon or real.

All BKF users agree not to use BKF for advertising purposes without a written contract between yourself/company/agent and the administration of BKF. Blatant advertising will result in a ban.

All BKF users agree not to spam the forums. Spam includes but is not limited to posting erroneous, non-relevant-useless, off-topic, or meaningless posts. Spam may also include posts which contain no text, or large areas of blank space between lines. Simply posting emoticons without text is considered spam. BKF is the largest bankruptcy message board and all the content is intended to help other users. Please help us improve the quality of our forum by making sure that your posts are well-worded, spell checked, grammatically correct and syntaxed.

Regarding actions of moderators and administrators:

The forum is no place to air out your opinion or be judgmental of our staff and its capabilities.

All BKF users agree not to abuse or mistreat moderators or administrators. It is against BKF rules to post any information regarding bans or any other action taken by a member of the moderating or administrative team. If you wish to discuss bans or warnings please do so via PM. To place a complaint against a moderator, send a PM to a super moderator. All Moderators are equal, any decision made by a moderator must be adhered to. If a moderator tells you something you do not like, do not go to another moderator looking for a different answer. If you are caught doing this you will be banned. The moderators work as a team and respect the decisions made by their peers and will help enforce them unless an administrator tells them differently.
If you have an issue with how the forum is run, then notify one of our administrator and we will look into the situation. We have in the past and still do appreciate any input that you offer this forum. But critical input and/or judgmental postings towards the staff will result in you getting banned.

Should you find a thread offensive or out of line, then notify a Mod in a PM so they can evaluate the situation and do the action deemed necessary.

All moderators do have active "other" lives outside of the forum and help moderate this forum in their spare time throughout the days and weeks.

If you have a problem with a member or Mod follow the proper channels of reporting it.

BKF reserves the right to delete any posts which contain anti-BKF comments or discussion. Any bashing of moderators or administrators, or any of their discussion or actions will also be deleted, and the responsible posting party(s) will be banned. Any public anti-BKF advertising, communication, or posts on another forum will result in permanent bans as well.

All warnings and bans are decided by individual moderators and administrators. Warnings are preferable to bans however, for serious offenses and repeat abusers bans will go into effect. The length of the bans can vary from several hours to permanent.

All messages posted or sent including through PM are the property of

All BKF users agree not to advertiser on the forum (Niether by posting, private messaging or using your signature). If you are a company/attorney/legal adviser wishing to advertise on the site or sell a product, you must contact the head administrator and inquire about our advertising packages.

All bankruptcy related opinions expressed on are those of their authors and not necessarily of BKF, its staff or representatives.

You agree not to copy any material/post/content from BKF without written permission from our head administrator .

By posting on this forum you agree to these terms and conditions, including any punishment deemed appropriate by moderators or administrators in the event of an offense.

Administrators/Moderators can change these rules at any time without prior notice.
See more
See less

What should I do about private student loan?

  • Filter
  • Time
  • Show
Clear All
new posts

  • What should I do about private student loan?

    I filed for Chapter 7 and my 341 meeting is in a few weeks. I'm still stressed out but finally starting to feel like the end of this nightmare is near. I understand that my student loans are not dischargable and I've negotiated an IBR plan with my federal loans. However, I have some private student loans through Wells Fargo that are a big part of the reason I ended up in this mess, and it is those private loans I am worried about, since I understand after my Chpt 7 is closed, WF is able to come after me again for those.

    Background: After my divorce, I ended up with pretty much all the marital debt because frankly, I was an idiot and allowed my ex to bully me into using his lawyer for an uncontested divorce. I quickly got behind in bills and never recovered. Wells Fargo called and said my loans were in default and I was completely confused/flustered, and I ended up agreeing to a payment plan for all 4 of my private loans at $1200/month for 18 months. It was my understanding that this would take care of the entire debt. At 18months, I get a letter stating my loan was paid off, but they continued to keep taking the $1200 out of my account. This killed me financially. When I called to complain, they told me that only ONE loan was paid off, nothing was paid on the other three loans, and I had to keep paying for the other THREE loans the same way. I told them that wasn't what I agreed to at all, and I never would have agreed to $1200/month for SIX years. They refused to negotiate anything. I had no money for food or rent, so I had to close the bank account. That last payment was in April 2014, and that one private loan is listed on my credit report as collections/paid with a zero balance.

    The other loans are listed on my account with balances/in collections, and the last payments to them were in November 2012. I believe the original loan contract called for laws of the state of PA to apply (I went to school in PA), and if that is the case, then the SOL is 4 years and they can no longer collect. If the SOL from my state of residence applies, then it is 6 years, which will end in 11/2018. I'm trying to find the original loan paperwork to clarify that. The loans are all scheduled to come off my credit report in 11/2019 (per my records and TU).

    My question is: Should I just leave this alone, or should I try to do something about it? I don't want to mess up my fresh start, but they're going to keep reporting those loans as CO every month. If they try to apply my home state SOL, I don't know if I should just sit tight and wait to see if they try to sue me before 11/2018, or if I should try to file for a hardship discharge instead. Even after that date passes, my credit report will still get dinged until it comes off in 11/2019. How likely is it that they will come after me to sue? (I'm self-employed, already defaulted on the collection agreement, just filed bankruptcy.) Should I try to make an offer to settle just to get it off my CR? If I do nothing, and they do nothing, how bad will it hurt me as far as trying to rebuild my credit? I am also aware that Wells Fargo has been in a load of trouble recently regarding their student loan practices, and I think I have a pretty strong case that I was one of the damaged parties, so at least I have that if they do try to sue me. I was definitely led to believe that my loans were all being paid each month by my payment, when in fact, it was only going to one loan at a time, and the remaining loans were still being reported as delinquent.

    I don't want to make any of it worse, but if there is a way to help the situation and possibly keep the damage to my CR as little as possible, I am open to suggestions.

  • #2
    This sounds like it is worth filing an adversary proceeding to determine the dischargability of the private student loans. As the process seems to be the same, why not go for your federal loans as well? It seems if you could have been paying for the federal loans vs the private loans, you might have made serious student loan progress. Check with real attorneys to see what they say.


    • #3
      Originally posted by Maria80386 View Post
      This sounds like it is worth filing an adversary proceeding to determine the dischargability of the private student loans. As the process seems to be the same, why not go for your federal loans as well? It seems if you could have been paying for the federal loans vs the private loans, you might have made serious student loan progress. Check with real attorneys to see what they say.
      Thank you Maria. I will bring it up with my attorney, but I know filing an AP is going to be a lot of extra charges. We did briefly discuss my student loans at my first consult and he didn't seem too hopeful of getting a hardship discharge; he seemed to indicate I'd have to be disabled to get one. I have been reading a lot about it, though, so I do wonder if maybe I should consult another attorney for another opinion. My federal student loans were in hardship deferment, and when I decided to file bankruptcy this summer, I was suddenly able to work out an income based repayment plan which is $0/month for 25 years and the remainder of my loans are forgiven after that time. They pull my tax return info each year and base it off my AGI, which since it is so low, it qualifies me for $0 payment. The good thing about that is that is shows on my credit report as current on all those federal payments and they're all in good standing.

      The private loan thing was a cluster; I thought the private loans were included in the deferment of all my other loans, so I panicked when WF called me threatening to sue me and said there was no other option but to pay them in full. I was already divorced and struggling to make ends meet at that time and should not have agreed to the $1200/month, but I resigned myself to eating ramen noodles for 18 months thinking it would be completely paid off, and then i could start dealing with my federal loans. My income has taken a huge hit since then & making those payments to WF killed all the savings I had.

      I think I should get a second opinion from another lawyer, but do I have to wait until my bankruptcy is closed? I don't want to make trouble with my current lawyer. He's great, very experienced, but is very short and abrupt and seems impatient with questions. I'm sure he's used to dealing with people who have no clue as to what is going on, so I can't fault him for that. Last time I had called with concerns he told me reading bankruptcy stuff on the internet is like looking at webmd, and I need to stop reading and just ask him if I have questions. (I did call him with my question, but he asked me why I was worried about it and then seemed upset when I told him I looked at stuff online.) I guess I'm just a little frustrated and am looking for more than "sign here, sign here, initial here, see you in court". I'm a researcher by nature, I just have an obsessive habit of learning everything I can about anything I'm involved in. I want to know I am making the right decision, but I also don't want to wake a sleeping dog if I don't have to.

      Lol, I think I'll be much more sane after this 341 hearing.


      • #4
        First, consult with an attorney to make sure that the statute of limitations on the student loans has passed. Your bankruptcy attorney may be able to answer that question. This is a reasonable question to ask. If the attorney is short and seems annoyed, so be it. Try to brush that off. If his practice does not include debtor/creditor litigation, he may not know the answer to the question. There is no reason why you can't talk to another attorney. Your bankruptcy attorney may be able to refer you to one.

        If the statute of limitations has passed, I would not pay anything further on the loans. Paying now will not remove the negative reporting any earlier. Also, they are going to drop of your credit report long before your bankruptcy. With the bankruptcy, the loans remaining for another year a two is not going to make a big difference to your ability to get credit.

        You should keep in mind that even if the statute of limitations has passed, the creditor might still try to sue you, in which case you would have to respond to the suit with a defense that their cause of action is time barred. The risk of having to deal with that nuisance might be worth some amount of settlement to you. If so, make sure you get an agreement in writing before making a payment that the payment is in full settlement of all debt owed to Wells Fargo and that they will not ever try to collect the remaining balance or sell the debt to a third-party.
        LadyInTheRed is in the black!
        Filed Chap 13 April 2010. Discharged May 2015.
        $143,000 in debt discharged for $36,500, including attorneys fees. Money well spent!


        Unconfigured Ad Widget