David S. Hamilton Bankruptcy Law Blog on Lawyers.com

Can Bankruptcy Prevent Me From Obtaining a Student Loan?

Monday, October 12, 2009 by David S. Hamilton

The Bankruptcy Network just ran a good blog post asking whether you can be prevented from obtaining a student loan following bankruptcy?

The simple answer is no. If your loan is government backed or
guaranteed then you can not be discriminated upon on the grounds of
being a bankruptcy debtor under Bankruptcy code- 11USC§525 (c).

As this post states:

The provision in the code even extends to persons “…with whom the debtor or bankrupt has been associated” (11 USC §525(c)) if the denial was because of the bankruptcy.

Student loans are not necessarily a good way to fund anything, but
sometimes they are the only avenue to a decent education. At least a
previous bankruptcy action won’t keep you from getting one if you need
it.

Posted at 14:54 PM

Topic: Bankruptcy