Student education loans are nondischargeable inside a section 13 bankruptcy

The end result regarding disallowance lower than § 502(b)(2) “is always to guarantee one loan providers except that [this new collector carrying the brand new student loan] discover its great amount of one’s home

nine Select § 346.1 [ Student education loans ] § 158.dos Student education loans. Come across, elizabeth.g., Leeper v. Pennsylvania Large Educ. Guidelines Institution, 49 F.three dimensional 98 (three dimensional Cir. 1995) (Applying Bruning v. United states, 376 You.S. 358, 84 S. Ct. 906, eleven L. Ed. 2d 772 (1964), unmatured postpetition desire towards the a great nondischargeable education loan is not deductible and you may endures launch in the a part thirteen situation.); During the re Hamilton, 179 B.Roentgen. 749 (Bankr. S.D. Ga. 1995) (Equilibrium away from education loan could well be nondischargeable within completion out of payments not as much as Chapter 13 package notwithstanding you to Institution regarding Knowledge hit a brick wall so you’re able to timely document an evidence of allege together with borrower submitted an evidence of allege for brand new Company inside the an matter debated of the Service.); Ridder v. High Ponds High Educ. Corp. (Into the lso are Ridder), 171 B.Roentgen. 345, 346–47 (Bankr. W.D. Wis. 1994) (“Even in the event states to possess postpetition notice was disallowed throughout the bankruptcy, immediately after bankruptcy the latest holder out-of a good nondischargeable personal debt can get gather away from this new debtor directly. Bruning v. All of us, 376 You.S. 358, 84 S. Ct. 906, 11 L. Ed. 2d 772 (1964). . . . Since the personal debt wasn’t released, High Lakes may collect the brand new postpetition attract of [the fresh new debtor] yourself. . . . The point that Higher Lakes’ allege to possess postpetition appeal would have started disallowed has nothing related to if postpetition appeal try dischargeable.”); From inside the re also Shelbayah, 165 B.Roentgen. 332 (Bankr. N.D. Ga. 1994) (Unmatured postpetition desire into the a student-based loan is not an allowable claim under § 502(b)(2), and you will eg notice will continue to accrue from inside the Section 13 situation. ).

Most of the unmatured postpetition focus get a comparable nondischargeable reputation as the underlying education loan below § 1328(a)

ten Select below inside section and view §§ 155.2 [ Long-Label Bills ] § 88.9 Enough time-Name Debts, 159.1 [ An offer: Convenient Laws and regulations having Class regarding Unsecured Claims ] § An offer: Convenient Regulations to have Group out-of Unsecured States and you may 346.step payday loans Calhan CO one [ Student education loans ] § 158.2 Student education loans. Come across, elizabeth.g., When you look at the lso are Williams, 253 B.R. 220, 232 (Bankr. W.D. Tenn. 2000) (“That it courtroom cannot show Section thirteen plans that give to possess the fresh new payment interesting so you’re able to education loan loan providers, however with other unsecured creditors.”); Inside the re Shelbayah, 165 B.R. 332, 337 (Bankr. Letter.D. Ga. 1994) (Unmatured postpetition interest towards the an educatonal loan is not deductible for the a chapter thirteen situation significantly less than § 502(b)(2), like appeal will continue to accrue for the Chapter 13 situation, additionally the accruing appeal provides the same nondischargeable reputation as root student loan less than § 1328(a). ”). Accord Leeper v. Pennsylvania Large Educ. Guidance Company, 44 F.three dimensional 98 (three-dimensional Cir. 1995); Inside re also Hamilton, 179 B.Roentgen. 749 (Bankr. S.D. Ga. 1995); Ridder v. High Ponds High Educ. Corp. (From inside the lso are Ridder), 171 B.Roentgen. 345 (Bankr. W.D. Wis. 1994).

11 From inside the re also Boggan, 125 B.R. 533 (Bankr. Letter.D. Sick. 1991). Agreement Within the re Gregg, 179 B.R. 828, 830 (Bankr. Age.D. Tex. 1995) (Debtor is independently classify three student education loans to possess commission entirely where most other unsecured allege proprietors might be paid down merely .74%. “All the student loans in this situation try nondischargeable around 11 You.S.C. § 523. Hence, an alternate class for these states cannot unfairly discriminate against others unsecured creditors.”). Discover and Inside the re also Dillon-Bader, 131 B.R. 463 (Bankr. D. Kan. 1991) (Into the context of great-believe objection in order to verification, this is simply not incorrect to own a part 13 debtor so you can separately classify Restore loans for a hundred% payment if you’re paying other unsecured allege owners ten% as Fix financing need to be paid in complete pursuant so you’re able to 42 U.S.C. § 294f(g).).