Monday, June 18, 2007

Student Loans After Bankruptcy

A lot of people ask me, "can I still get student loans if I file for bankruptcy?" The answer is YES! In fact, the bankruptcy code specifically provides that no governmental unit that operates a student grant or loan program and any person engaged in business that includes the making of loans guaranteed or insured under a student loan program may not deny a grant, loan, loan guarantee, or loan insurance to a person who has filed for bankruptcy or is involved currently in a bankruptcy case [11 USC Section 525(c)].

Thus, as long as you are applying for student aid through a federal government insured program and you otherwise qualify for aid, you can not be denied a grant or loan just because you have filed or are currently involved in a bankruptcy case.

http://www.legalhelpers.com/blog/2006_08_01_archive.html