Are Private Student Loans exempt from bankruptcy?
private student loans are the same as federal student loans regarding bankruptcy. On the books it says they can be discharged, but virtually impossible to ever actually be done. 99.99999999999% You know, one person in the entire history of the new laws every having it done and that was because he was mentally retarded and got in on adult admission standards or something.
You need to be more specific on Private Student loans. If they are a student loan, they were certified through your school. If they are Continuing Education Loans, through companies such as TERI or PennState, that are private loans taken for indirect cost of education, then yes, they can be discharged in bankruptcy. I am not only telling you this from the standpoint as a financial aid officer, but also personal experience. If the loan was certified for school, it almost always must be paid back. And just fyi, student loans CAN be discharged in a bankruptcy, but it is almost unheard of. Good Luck!
