Can student loans be discharged under the new chapter 7 bankruptcy laws? What about credit card transactions?
Student loans cannot be discharged at all under any bankruptcy. Credit card debt can be discharged if you qualify for chapter 7, but the big change is that most people will not qualify for chapter 7, but instead must file chapter 13 bankruptcy, which creates a 3-5 year payment plan in which all disposable income is used to pay off the debt. After the plan is fulfilled, the remaining debt is discharged.
