Problems after Bankruptcy Dismissal! Help!

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Latest post Mon, Apr 26 2010 8:01 PM by Kivi. 1 replies.
  • Mon, Apr 26 2010 7:36 PM

    • RMonaghan
      Consumer
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    • Joined on Mon, Apr 26 2010
    • OH
    • Posts 1

    Problems after Bankruptcy Dismissal! Help!

    In 1997, my ex-husband and I filed for Chapter 13 bankruptcy. Our payment plan was for 5 years. When we filed, not all of the creditors responded to be a part of the plan, including Apple Education Loans where I financed a computer while in college. In 2001, my ex-husband lost his job and failed to make the last 3 payments on his part of the plan (about $85 total) and it was dismissed (without prejudice, I believe). I recently received letters from a collection agency about a debt with Educap (which bought the Apple Loan). At the time I received the letters I did not recognize the creditor and asked for the debt to be validated. Today I received the original paper work from Apple Loans. The debt is more than $9,000. The collector is NCO Financial. There are several questions I need answered: 1. Since they did not respond to the initial request by the trustee to be included in the Ch. 13 plan, can they come back and demand payment? 2. Because the Bankruptcy was dismissed are they entitled to collect on the debt even though they did not respond? 3. They are stating now...that this is a student loan originally made by a partial non-profit entity (not the Feds). Does this mean the debt cannot be discharged? This is not on my credit report, nor is the bankruptcy. I can't pay this. Any help is appreciated. SoL in Ohio is 15 years, I beleive. It's year 13!

  • Mon, Apr 26 2010 8:01 PM In reply to

    • Kivi
      Consumer
    • Top 25 Contributor
    • Joined on Sat, Jan 1 2005
    • CA
    • Posts 6,189

    Re: Problems after Bankruptcy Dismissal! Help!

    Two problems here:

    The Chapter 13 BK was dismissed, so unpaid debts that may or may not have been included in it liiklely could not have been discharged.  I am guessing this collection attempt is legal.

    If the debt truly was a student loan, then it probably was not eligible for discharge in the first place.  It may have been deferred during the chapter 13 proceeding.  Hard to know at this point.

    Given how old the debt and bankruptcy are, I am not surprised that they are not on your credit reports.  Both should have fallen off some time ago.  Derogs generally stay on credit reports for seven years.  A bankruptcy filing stays 10 years.  By your own account this debt and the bankruptcy filing are over 10  years old. 

    However, I suggest that you take your paperwork to a local BK attorney and get an opinion on whether this debt truly qualifies&n... a student loan.  Let's just say, I would never trust what a debt collector sayson such a subject without verifying it seven ways from Tuesday.  If it is not a student loan, it potentially would be eligible for discharge in chapter 7 bankruptcy since it has been long enough since your last one.  If it is, you may be in a pickle, but you might be able to pay it back via another chapter 13 bankrutpcy, which likely will be hard, but less unpleasant than bank account levies and wage garnishments. 

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