Sticky financial aid question

I'm assuming I'm banned from ever qualifying for fed student loans since I discharged a couple of them from a chapt 13 reorganization. The loans were from 12 years ago and were in default when I filed the BK. My situation is very different now and I'm trying to figure out how to finance my PhD. If I cannot secure financial aid I will likely go CA approved rather than RA.

Appreciate any help. Thanks

 

You might check out FAFSA On The Web FAQS:
http://www.fafsa.ed.gov/before002.htm

I'd didn't see a specific reference to bankruptcy. A few minute poking around there should net results.

Good Luck,


Tony

 

Don't be so sure you are toasted regarding financial aid or even student loans. I am not a bankruptcy lawyer but I think that all law students must contemplate bankruptcy at some time early in their careers. There is some law that might matter quite a lot.
The mere fact of bankruptcy may not bar you from receiving financial aid, or at least student loans, especially if you have had ten years or so of paying your bills on time.
First, order credit reports on yourself from the three reporting agencies. Make sure they are accurate. Provide the reporting agencies with whatever information they need to correct inaccuracies.
Then, go ahead and APPLY. Tell the truth and "shame the Devil". The worst that will happen is they will say "No."
Remember that no one should refuse you JUST BECAUSE there's a bankruptcy in your past, only if you are PRESENTLY a poor credit risk.
Nosborne

 

It was my meager understanding that student loans were not included in a bankruptcy; that they wouldn't be forgiven by the court and that you'd still owe them. If so, they've not been settled are are in default. Being in default of a student loan precludes you from obtaining a new loan.

If the above is true, you could bring those loans back to current status by paying on them for at least 3 months to whomever holds them. At that point, you should be able to consolodate them into one, regular, current loan. That would, then, make you eligible for consideration for a new student loan.

Talk to your lender and/or your school's financial aid office.

Rich Douglas

 

Perhaps the most relevant-to-you 'tip' in Bears' Guide to Finding Money for College is the notion of a modest foundation grant. There is a book called Foundation Grants for Individuals -- and, since the first edition of our book, we've had some very positive feedback from people who found a foundation to finance their doctoral work, either through a direct grant, or a grant to their school for their use.

John Bear
Publisher's site: www.degree.net

 

I used to work in the rehabilitation field. Many people I worked with were in default of college loans. However, once you had a filed a plan to pay the money back, had it approved, and began following the plan you were no longer in default and may be eligible for financial aid again. The rules may have changed over the years, but I think it was just six months of following the "plan" and you were good again.
You may want to check with the federal finacial aid organization?
All the best!

 

I should have added that the student loans were discharged because they were old enough(10 years or something..I forgot)You are correct that student loans are generally not dischargeable under a Bankruptcy. In my case, they were.

Thanks everyone for the feedback. I will inquire further with the student loan organizations on this. Looking for grant money is a good suggestion. I guess I've always thought that grants were given to other people. I mean, Im not a minority, I make decent money, Im not a straight A scholarship candidate. I admit I've not looked into foundations or even understand why they would be willing to pay for my education - I should probably do some more research.