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Absolution after Consumer Proposal

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Topic: Absolution after Consumer Proposal
Posted By: terrym
Subject: Absolution after Consumer Proposal
Date Posted: 20/February/2005 at 1:22pm

Does anybody know where in Toronto I can apply to have a judge absolve me of the survivable part of my Canada Student Loan after I completed a Consumer Proposal?  Here's the low-down:

- I graduated from my degree program in November 1990.

- Unable to find a steady job, I went back to school for a 4-month computer training course to upgrade my skills, and finished in May 1995.  This was only a certificate program sponsored by HRDC.  I didn't take out a new loan, but renewed my interest relief status because I was in school full-time. I was later unable to find regular employment, moving from contract to contract job.

- I married in 1999. I started a Consumer Proposal in February 2000. My husband and I have no shared debts.

- I completed my Consumer Proposal in August 2003. My trustee explained my CSL was survivable, but that I could have the remainder removed from my credit history by a judge as usury, because the 10 year rule had elapsed.

- My trustee left the company, and didn't leave details about her usury suggestion in my file, and nobody else in the company is interested in pursuing it on my behalf.

-In February 2004 HRDC contacted me to collect, claiming the 1995 interest relief date is the relevant one for the 10 year rule, not the 1990 graduation date.  Interest has resumed. I am unemployed, my husband is unemployed, and HRDC states that because my husband is making payments on HIS credit cards, he must also pay them for MY student loan.

Any leads would be very welcome.  THANKS!

 



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trm



Replies:
Posted By: SolveStudentDebt
Date Posted: 20/February/2005 at 2:36pm

 

 

You wrote:

 "- I completed my Consumer Proposal in August 2003. My trustee explained my CSL was survivable, but that I could have the remainder removed from my credit history by a judge as usury, because the 10 year rule had elapsed."

 You know what really freaks me out about this? The fact that a bankruptcy trustee has told you this garbage! WOW! Your trustee just explained that your CSL residue will survive the proceedings - and you could have the remainder removed from your credit history. That is so false. The bankruptcy trustee is simply trying to give you some "inspiring" news just to cover up all of the misery you had sustained over this ordeal. Go back to your trustee who told you this pulpy fiction and get them to put it in writing. Guaranteed you will not get a letter outlining that stuff.

 You see the bankruptcy trustee's main objective was to hook you in to file a consumer proposal. That is their gravy. They earn the insanely high proposal fee (Usually 2K or so) PLUS 20% of whatever you pay into the proposal. That is outrageous. 

If they are not willing to help you, then you should refer them to the BIA that states the rules regarding their duties and responsibilities. They know that you do not likely know this stuff, you see.  

 The bankruptcy trustee that you went through will know how to motion a section 178. They are simply trying to pass you off and not get involved because they know how bloody difficult it is even to get a word in edge-wise in the hearing.

 Johnny  



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Solve Student Debt specializes in solutions for students and graduates in student loan default, and those at risk of defaulting.

http://www.solvestudentdebt.com" rel="nofollow - solvestudentdebt.com


Posted By: blah
Date Posted: 21/February/2005 at 5:25am
Since when is the interest relief date rather than the graduation date used to calculate the ten year rule. Where in the BIA is this stated? Johnny, do you have any idea about this?

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Friends don't let friends take Arts degrees


Posted By: momof2
Date Posted: 21/February/2005 at 7:24am

blah

going back to school reset the clock, not the IR app.



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professionals built the titanic but amateurs built the ark...


Posted By: blah
Date Posted: 21/February/2005 at 8:17am
"In February 2004 HRDC contacted me to collect, claiming the 1995 interest relief date is the relevant one for the 10 year rule, not the 1990 graduation date."

But what about this HRDC claim?

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Friends don't let friends take Arts degrees


Posted By: polyhymnia61
Date Posted: 21/February/2005 at 11:59am

He did the training program in 1995 though, blah. A course is a course, of course, of course...

Since he renewed his interest relief status because he was a student again, he reset the clock.

Still awaiting that person who has had their loans discharged since the ten year rule came in...and waiting...and waiting...

And I have a strange feeling that, even if it was cut to five years, we'll still be waiting a looooong time...just a feeling I have...

Poly



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Home is where you are allowed to prosper.


Posted By: blah
Date Posted: 21/February/2005 at 5:25pm
I understand that part. But the post states that HRDC claims the INTEREST RELIEF date is the RELEVANT ONE for the TEN-YEAR-RULE. This is absolutely contrary to the BIA. Either the OP is mistaken, or HRDC is ignoring the BIA and making up new rules, which would never fly in court.

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Friends don't let friends take Arts degrees


Posted By: SolveStudentDebt
Date Posted: 21/February/2005 at 6:08pm

 

 Blah,

 The 10 year limitation period starts from the day you ceased to become a student. Some have said that it is the last day of the month when you had ceased to be a student (full or part-time).

 The BIA states that it is 10 years from the day a bankrupt ceases to be a full or part-time student.

 When a person is in receipt of interst relief, they are obviously no longer a student. Otherwise, it would be a Schedule 2 in force which is considered "interest free". Interest relief means that studies have ceased. If you were told that the IR date is what comes into effect, then you might want to talk with Eshelton and ask him how accurate their informative representatives are.

 Eshelton, care to explain to Blah what I am getting at here?

 Blah, it is 10 years from when you ceased to become a full or part time student.

 Johnny



-------------
Solve Student Debt specializes in solutions for students and graduates in student loan default, and those at risk of defaulting.

http://www.solvestudentdebt.com" rel="nofollow - solvestudentdebt.com


Posted By: eshelton
Date Posted: 21/February/2005 at 6:36pm

HRDC is making up new rules, and they blatantly contradict each other. 

Example:

Acting on the advice of a lawyer, I called HRDC Collections and asked them if there was any way of updating my credit report to show my payments to them.  I asked them what they wanted to see and what I had to do to make us both happy.

They suggested the Letter of Good Standing (I'll abbreviate LGS for short).  Since my question was in regards to repairing my credit rating, I assumed this LGS was going to be sent directly to the credit bureau. 

Then I call back and it is NOT sent the credit bureau.  The terms are I make 6 consecutive payments, and after 3 cheques cashed (and 3 post-dated), they send the LGS directly to me. 

When John and I called today, the rules have now changed.  It must be 6 consecutive payments cashed (no post-dates).  They also have a new rule that people on conference calls (3-way calls) must have power of attourney.  Fortunately in our case, they did not ask for this. 

Now the system is broken down and they cannot verify the 3 post-dated cheques on file.  So I call back in the afternoon and they say it is back up.  Fifteen minutes LATER, I receive a call from HRDC saying their system is pretty much shot for the day and won't be up for at least 24 hours.  I guess they didn't count on me calling in to verify when the system was back up.

And here's the icing on the cake - the LGS says my account is in good standing, yet they will not return it to the original lender (NSLSC), nor update the credit bureau.  So my account apparently is in good standing, or "not in a deliquent status" but is still deliquent according to the credit bureau.  This is contradictory, and ILLEGAL.  The LGS is nothing.  Meaningless.  They try to say it helps people with their credit, but cannot substantiate these claims. 

So you see, HRDC makes up their own rules.  And yes, their CSR's are very informative, but for all the wrong reasons, sometimes to their benefit, sometimes to yours.  Just make sure to catch them on it.  John and I did.



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"A proof is a proof. What kind of a proof? It's a proof. A proof is a proof. And when you have a good proof, it's because it's proven." - Jean Chretien


Posted By: SolveStudentDebt
Date Posted: 21/February/2005 at 6:55pm

 

 "A proof is a proof. What kind of a proof? It's a proof. A proof is a proof. And when you have a good proof, it's because it's proven."

 



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Solve Student Debt specializes in solutions for students and graduates in student loan default, and those at risk of defaulting.

http://www.solvestudentdebt.com" rel="nofollow - solvestudentdebt.com


Posted By: blah
Date Posted: 22/February/2005 at 2:41am
What a horror show. It’s actually kind of embarrassing that this is our government we are discussing here. How many other government-run programs are being administrated as shoddily as this one? Shall we consider the CSL program to be a representative microcosm of our government as a whole?

Eshelton, I’m truly sorry that you’ve been given the runaround treatment. It frustrates me just reading your post. I can only imagine how you must feel actually living it.

Johnny, I haven’t ever been told that the IR date is the relevant one with respect to the 10-year rule. It’s quite clear in the BIA that it is the date that one has ceased to be a student that matters.

I guess I just panicked when I read Terrym’s original post stating that HRDC contacted her for collection purposes and stated that the IR date is what is relevant. It made me wonder if another midnight session had taken place in parliament.

Either way, I hope I can get through all this without ever having to take that plunge.

Thanks for the replies.


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Friends don't let friends take Arts degrees


Posted By: blah
Date Posted: 22/February/2005 at 2:46am
Originally posted by Johnny Johnny wrote:

 


 "A proof is a proof. What kind of a proof? It's a proof. A proof is a proof. And when you have a good proof, it's because it's proven."


 



I understand what you're saying, but can you prove it?

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Friends don't let friends take Arts degrees


Posted By: SolveStudentDebt
Date Posted: 22/February/2005 at 4:18am

 

 Yes.



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Solve Student Debt specializes in solutions for students and graduates in student loan default, and those at risk of defaulting.

http://www.solvestudentdebt.com" rel="nofollow - solvestudentdebt.com


Posted By: eshelton
Date Posted: 22/February/2005 at 4:27am

blah,

I'm not very upset about this whole thing - actually, knowing that I have HRDC and NSLSC cornered by their own stupidity is a great feeling.  The phone calls are recorded, the documentation is there.  It is proven. 



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"A proof is a proof. What kind of a proof? It's a proof. A proof is a proof. And when you have a good proof, it's because it's proven." - Jean Chretien


Posted By: Blue.
Date Posted: 22/February/2005 at 4:58am

But what's the next step, eshelton? I'm not trying to be derogatory at all, but where do you go once you know that the GOVERNMENT is lying? I mean, if anyone actually gave a sh*t, none of us would be in this predicament to begin with.

I got hope from your earlier post about being able to get an LGS. But as you say, if it's utterly useless, then what difference does it make if we repay our loans? If the govt isn't willing to work with us, and help US, especially after we work our asses off to bring our loans back into good standing, then why bother?

Sorry, feeling a little bummed today about this whole financial penitentiary.



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What you are obsessing about is a debt. It's a loan. It's business. It's money. It contains no moral baggage. You are a decent, kind, loving and moral human being.
--Islander


Posted By: eshelton
Date Posted: 22/February/2005 at 5:06am

You present this evidence to the MEDIA.  What they are doing is illegal and it is proven, the media will eat this for breakfast.  There are still some calls to make before going to the media, just to make sure there is no escape route for them.  Their own policies have painted themselves into a corner. 

I haven't received the letter yet, apprently their system is down until Wednesday, riiiiiight. We already have them on tape spelling out the whole process, so getting the letter isn't critical, but nice to have. 

Why be in good standing if the LGS is useless?  I've been asking that question for a while.  I am nearing paying one of my 4 loans in full, that will be reflected on the credit report.  So that's my incentive. 



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"A proof is a proof. What kind of a proof? It's a proof. A proof is a proof. And when you have a good proof, it's because it's proven." - Jean Chretien


Posted By: peewee
Date Posted: 23/February/2005 at 4:11pm

So Johnny,

the way i read the BIA, a person ceases to be a "student" the day they file a proposal or bankruptcy etc.  So, what if i actually was a full time student the day i filed bankruptcy and the day after that, and the day after that......

i filed in march 2003 and i have  been a full time student ever since and 2 years before in fact.  so now, does my 10 year clock start the day i ceased to be a full time student (i.e. the day i filed  bankruptcy) or hasn't it started yet since i am still a student?

according to the rules, it seems that i am only a student when it is convenient for them to say that i am. 

what do you think?

peewee



Posted By: SolveStudentDebt
Date Posted: 23/February/2005 at 5:41pm

 

 Peewee,

 I can't imagine why ypou would think that a bankruptcy assignment would be considered your last day of study.

 The BIA stipulates that student loans are exempt from bankruptcy proceedings for a period of 10 years from the day the individual has ceased to be a full or part-time student.

 That is pretty self-explanatory. But then again, the government has this amazing ability to change the rules whenever they feel like it.

 My suggestion is to go by what section 178 says.

 Johnny

 

 



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Solve Student Debt specializes in solutions for students and graduates in student loan default, and those at risk of defaulting.

http://www.solvestudentdebt.com" rel="nofollow - solvestudentdebt.com


Posted By: peewee
Date Posted: 24/February/2005 at 2:22am

Johnny,

sorry, i'm getting my information from the canada student loan regulations which are in effect the rules/details used to implement the canada student loans act.  I provided the link below as well as excerpts from the act.  it clearly states that:

I ceased to become a full-time student on the day my interest-free period was terminated which is the day the i filed my bankruptcy. at least that is my interpretation.  but hey i could be wrong...i'm only a girl!!!

also, i was aware when i filed that my student loans would not be dissolved as part of my bankruptcy!!!  I did not even list them in my bankruptcy as part of my debt!!!!  i was in interest free status at the time so my SL debt was not even a factor in my financial situation.  however,at the time, i was not aware of the canada student loan regulations.  i had only researched the CSL act and the BIA before i filed.  it's been a while, but i believe that your interpretation is the same one i had when i filed bankruptcy - i.e. i was a student as long as i was in school.

so, even though my loans were in good standing at RBC, exactly one week after i filed, RBC sent me a letter to tell me that my loans automatically went into default as i was no longer considered a full time student and was therefore no longer eligible for interest free status.  they did not care that i still was, in fact, a full time student !!!!!

had i filed bankruptcy after June 2004, i would not have lost my interest free status because these rules were amended as part of the belated 2003 federal budget which was tabled on feb 18, 2003 (i believe). 

and just to clear things up, i am informed, i do my own research and i never set out to rip anybody off here.  my financial situation at the time was independent of my student loans.  i was well aware, when i took out my last SL in sept. 1998 that the rules had changed. 

Johnny, since you seem to have an answer for everything, i thought you might have an answer for me.  the CSLR information has been pasted below.  if you have the time, i would really appreciate your interpretation.

http://laws.justice.gc.ca/en/S-23/SOR-93-392/55947.html#rid-55987 - http://laws.justice.gc.ca/en/S-23/SOR-93-392/55947.html#rid- 55987

CEASING TO BE A FULL-TIME STUDENT

 

4.1 Subject to paragraph 3(2)(b), a borrower ceases to be a full-time student on the earliest of:

(c) the day on which the borrower's interest-free period is terminated in accordance with subsection 9(4). SOR/95-331, s. 2; SOR/96-369, s. 3; SOR/2004-121, s. 2.

9 (4) Subject to subsection (8), when the outstanding balance of the principal amount of a guaranteed student loan and any accrued interest become payable under any of paragraphs (1)(c) to (k), the Minister shall, effective on the day referred to in that paragraph, terminate an interest-free period in respect of all of the borrower's outstanding full-time guaranteed loans.

9. (1) Subject to subsection (8), the outstanding principal and any accrued interest in respect of a guaranteed student loan become payable

 (c) where the borrower makes an assignment under the Bankruptcy and Insolvency Act that is filed and not cancelled, is deemed under that Act to have made an assignment, or is the subject of a receiving order, on the earlier of the day on which a receiving order is made or the assignment is filed with the official receiver;

 



Posted By: valerie
Date Posted: 31/March/2005 at 1:53pm
I keep seeing messages about the 10 year rule after you graduate.  My problem is, that after getting 40K in debt I had to leave University without graduating.   Does this mean that I never will reach the 10 year rule?  I too cannot pay my full debt load (now at 60K+) and I was hoping in 3 years I could declare bankruptsy.

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Hope may come at the 10 year mark...maybe


Posted By: administrator
Date Posted: 31/March/2005 at 2:25pm
first,
its 10 years after you cease to be a student. graduation is not required...

you are correct to note that rules kick in if you declare bankruptcy and still in school.. yes your loans are automatically defaulted if you declare bankruptcy even though they are not discharged. The liberal government changed the bankruptcy rule to 10 years without looking at the other regulations in place.... stupid as far as I believe...


also, be careful which laws you look at
there is the student loan act, and the student financial assistance act... depending when you took out your loans, different acts and rules apply...


http://laws.justice.gc.ca/en/S-22.7/SOR-95-329/index.html - http://laws.justice.gc.ca/en/S-22.7/SOR-95-329/index.html

Mark


Posted By: nago
Date Posted: 05/June/2005 at 12:03pm
you can claim bankruptcy but you would have to prove that you will NEVER ever make any money to have them discharged




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http://img152.imageshack.us/my.php?image=2sn9.jpg


Posted By: dizoe
Date Posted: 06/February/2007 at 4:15pm

Here's another question about the 10-year rule.  I graduated 10 years ago and am contemplating bankruptcy.  I'm worried because I took 3 part-time courses at a post-secondary instituion in BC in 2006 - one course a semester at night for personal interest.  I was working full-time at the time.  I also need to take a 4-week job related course next month at a private language school - I have been laid off and will be studying to upgade a certificate that I need to get back to work.  Have/will these courses reset the 10-year clock?!  Is there anyway for me to avoid these courses appearing in someone's records...I feel sick that I might have caused myself to go back to the beginning.



Posted By: administrator
Date Posted: 06/February/2007 at 5:30pm
There have been some cases in Quebec where it has been ruled that the clock was not reset, but from what I've heard it does reset the clock....

Trying to keep it out of the records would not be advisable because it would amount to making a false statement...

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Administrator
Mark OMeara
Author of Let Go and Heal: Recovery from Emotional Pain
https://LaughSingWrite.com - http://bit.ly/heal2024


Posted By: SolveStudentDebt
Date Posted: 08/February/2007 at 12:06pm
The law says " ... ten years from the day the bankrupt cesed to be a full or part-time student". Th interpretations that are being thrown around are many. However, if you read it, there is only one way to interpret it, and the loan providers (and their legal advisors) cash in on the blunders of the law makers who were obviously not "all with it" when they sat down and wrote this stuff.

Johnny   

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Solve Student Debt specializes in solutions for students and graduates in student loan default, and those at risk of defaulting.

http://www.solvestudentdebt.com" rel="nofollow - solvestudentdebt.com


Posted By: Canadianlioness
Date Posted: 05/July/2007 at 2:50pm
OMG...I feel so overwhelmed looking at the various situations here.  I too am in 60K+ debt from CSL and OSL combined.  When I ceased being a student for personal reasons, I called the then NSC and CIBC and the student financial centre at York U inquiring about the loan forgiviness and interest relief programs. This was back in May of 2000.  I was told that no such program existed.  Then only 5 months later was told that I could have signed up for interest relief, but was too late.  I told them that I was told by their CSR that the program was obsolete.  They told me that it was still running and I had time then, but too late now.  Damn these shdy people!!!  Gone thru hell with collectors.  Trying to find ways of eliminating these two debts.  Single parent on minimal income. It's just damn too much.  As I was told by a nasty collections agent, start saving up my pennies because I going to pay this debt regardless of my situation.  Just disgusting.  I've been told if I go to a debt counselling program, collection agencies could refuse the proposal at any time.  simply sick!!!

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I look for deliverance from this student loan!!!


Posted By: SolveStudentDebt
Date Posted: 06/July/2007 at 12:33am
Non-profit debt poolers tend to avoid undertaking cases involving student debt. This is because the student finance system does not pay commission to debt poolers. If there is a lot of consumption debt and student loans, the debt pooler will get paid their commission from the creditors though and not from the student loan providers.
 
Johnny


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Solve Student Debt specializes in solutions for students and graduates in student loan default, and those at risk of defaulting.

http://www.solvestudentdebt.com" rel="nofollow - solvestudentdebt.com


Posted By: Iknowalotofstuff
Date Posted: 19/December/2009 at 5:23pm
I don't know why the study end date is so difficult for everyone to understand.

S. 178 1.1 states that limitation period starts when the debtor ceases to be a full or part time student.  Graduation is not an issue.  You cease to be a student when you cease to be a student.

Next, you don't have to be out of school 10 years ONLY 7 years.  


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wlb


Posted By: administrator
Date Posted: 20/December/2009 at 5:50am
Iknowalot,
I think you have more insight into this situation than most of us here.  We have all been under the impression that if you go back to school, the clock is reset.  Is that the case? Or have court cases shown otherwise?   And of course, the government and collection agencies will try to bluff and continue to collect unless we are knowledgeable...


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Administrator
Mark OMeara
Author of Let Go and Heal: Recovery from Emotional Pain
https://LaughSingWrite.com - http://bit.ly/heal2024


Posted By: Iknowalotofstuff
Date Posted: 20/December/2009 at 9:34am
There are many forms of student loans but can be broken down into 2 categories. Category One: those student loans granted under the Canada Student Loan Act, Student Financial Assistance Act and the enactment of any province for the granting and guaranteeing of student loans.  These are Canada Student Loans, Provincial Student Loans and non guaranteed federal loans (risk loans). Category Two: all other student loans or student lines of credit.

Category One loans are only subject to discharge if bankruptcy / proposal was started after the expiration of the appropriate s. 178.1(g) limitation period which could be 1, 2, 10 or 7 years.  In the event the limitation period had not expired at the date of bankruptcy / proposal, the student loan debts are revived upon the discharge of the trustee (not the discharge of the bankrupt / consumer debtor.  Pursuant to s. 178 1(h), the interest on the loan continues and is not interrupted by the bankruptcy / proposal.  In order to deal with the need for the bankrupts fresh start, s. 178 1.1 provided that a student loan that was not discharged by the bankruptcy / proposal could be dealt with as a hardship after the expiration of the 1, 2, 10 and now 5 year period.

Category Two student loans are not subject to s, 178.1(g) and are subject to discharge if not opposed by the creditor in the same manner as an ordinary debt.  Personal loans for education and student lines of credit (often cosigned) are subject to discharge.

A Category Two Student loan (in addition to EI funded schooling, personal funding, bursaries, etc.) cannot be used to restart or extend a limitation period for a Category One student loan with one exception being the extension of the end of study under the terms of the student loan legislation. If you get government student loans for years one and two of a four year program and pay for years three and four from non student loans and the repayment of the government loans are suspended until the completion of year four, the end of study will be at the end of the fourth year.

"L" went to school taking ECE ending in 1989 funded by government student loans.  She ended a social work course some 10 years later funded by her First Nation Band.  She declared bankrutcy in 2000.  She alleged that she had been out of school with respect to the government student loans for the requisite 10 years and they were subject to discharge.  HRSDC argued that the schooling funded by the First Nation restarted the 10 year period and she should not have the loans subject to discharge until 10 years from the end of the later schooling.  The Court held that Category One loans were independent of all other debt that was subject to discharge and that the 10 year limitation period relates to that education only.  Category Two loans do not affect category One loans and the limitation periods related to them.

This makes absolute sense.  Education is an asset.  If the asset is funded by a student loan,  the party (government) should have a right to determine if the asset they helped create has value before such loan should be subject to discharge in an insolvency proceeding.  This period went from 2 to 10 to 7 years.  In the event, that the student loans were used for their intended purpose; that student went to school; that no substantial economic benefit was derived from the education; that efforts were made to pay and efforts such as interest relief / loan forgiveness were used to otherwise reduce the student loan debt, the student loans could become subject to discharge after the eventual expiration of a 2 to 10 to 5 year limitation period from the end of study relating to the Category One student loans.   
 
This also makes sense because s. 178 1(g) and 178 1.1 relate only to government funded or guaranteed student loans.  

There was a case I recall where a Sask. Credit Union funded education for an employee.  The employee graduated and left the company.  The former employee declared bankruptcy.  The CU attempted to prove that the student loans should not be subject to discharge.  Their action failed.
It should be noted that a non government student loan creditor my oppose the discharge of the bankrupt on grounds set out in s. 173 just as any other creditor.  A hearing will be held and the Court will determine if the discharge should be granted, suspended or if a conditional order should be made.  In the event of a conditional order, the funds paid to the estate are for the benefit of all of the unsecured creditors not just the non government student loan.

The was a case in NS.  A teacher had two study periods.  Study Period One was funded by federal and NS student  loans.  Study Period Two was funded by federal and Ontario student loans.  The bankrupt made an assignment into bankruptcy prior to the end of the 10 year period.  He made a s. 178 1.1 hearing after the 10 year period had expired for the Fed / NS. loans but before 10 year period expired for the Fed / ON student loan period had.  At the hearing, the Court ordered that the burden had been met with respect to hardship and that the Fed /NS were subject to discharge. The hearing was adjourned for a period when the Fed / ON loans would be eleigible.  The Court ordered that the matter would be heard again when the Fed / ON were 10 years from the end of study date.  Govt Student loans in one regime do not affect govt student loans in another regime.

The biggest culprits of bad information are CA and banks.  If it is the govt, they are just not informed.


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wlb


Posted By: Iknowalotofstuff
Date Posted: 20/December/2009 at 9:52am
Re: paragrah six of recent post regarding education as an asset.

This paragraph relates to a post bankruptcy hardship application for relief after 2 to 10 to 5 years and not the bankruptcy itself.


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wlb


Posted By: SolveStudentDebt
Date Posted: 20/December/2009 at 10:24am
It is all about interpretation. There are some that say when a person ceases studies - period; and there are others that say it only applies to being a student while on the government's dime. The regaulations that restrict student loans from bankruptcy does actually seem to be a violation of one's rights. If you owe tax debt there is less restirction to access.
 
Johnny


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Solve Student Debt specializes in solutions for students and graduates in student loan default, and those at risk of defaulting.

http://www.solvestudentdebt.com" rel="nofollow - solvestudentdebt.com


Posted By: Iknowalotofstuff
Date Posted: 20/December/2009 at 1:20pm
Johnny:
Its not about what I think.  Its about the case law and the decisions that have been made by some high ranking registrars and judges.  I am only repeating their decisions,  If you want the cases, I can provide them.

To many on this forum, the calculation of an end of study date is very important.  There would be no benefit for me to post false hope.  So I have carefully researched case after case, application after application and find what I have posted to be accurate.


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wlb


Posted By: SolveStudentDebt
Date Posted: 21/December/2009 at 2:26am
Then you should present your research and findingds to the superintendant's office so theyt do not mislead people. I am not saying what you are posting is wrong. However, people will go to sources like the Supie and take what they say as being true and accurate.


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Solve Student Debt specializes in solutions for students and graduates in student loan default, and those at risk of defaulting.

http://www.solvestudentdebt.com" rel="nofollow - solvestudentdebt.com


Posted By: Iknowalotofstuff
Date Posted: 21/December/2009 at 9:26am
I will.

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wlb


Posted By: SolveStudentDebt
Date Posted: 21/December/2009 at 3:44pm

It puzzles me how the SOBIA's office is so misinformed. Doesn't this seem peculiar?

 


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Solve Student Debt specializes in solutions for students and graduates in student loan default, and those at risk of defaulting.

http://www.solvestudentdebt.com" rel="nofollow - solvestudentdebt.com


Posted By: Iknowalotofstuff
Date Posted: 21/December/2009 at 4:45pm
I look at OSB in a different light.  They are responsible for the administration of the Act not the interpretation of it.  The OSB should not be giving out legal advise.  If you contact a court office, they provide you with legal information not legal advise.  If you contact the OSB, they should not provide legal advise only information.  If they were to provide advise, they would need to keep track of all of the decisions made in the various bankruptcy courts.  Obviously, they do not do this.  

It would be simple to do if they wanted.  There would be a requirement that they be served with a copy of every motion, opposition and application made in the various courts and require a copy of the decision.  They do not do this very often.  Some of the more prominent cases appear in the OSB case law bulletin.

I listed some cases in a post earlier this evening.  I would bet that the OSB has never heard of these cases.  I would bet many bankruptcy lawyers have not heard of the cases.  I would be willing to bet a large number of trustees have not heard of them.  I hear of them because I spend research time looking for them for the purpose of informing clients and others who want to know.

If you call the OSB in London, ON, they will tell you to contact a lawyer or read the act.  No interpretation.  They might read the Act to you.  You can get more information out of Holden & Morowitz Annotated Bankruptcy and Insolvency Act than from the OSB.   The Official Receivers are not lawyers.


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wlb


Posted By: lola36
Date Posted: 21/July/2011 at 7:24am

I have a similar story.  My records did indicate the 10 year mark for being absolved of my student loans.  The problem was when I went to the trustee's office they said my consumer proposal had actually reset my loans again.   In other words instead of being finished in 1995 my loans were reset back to 1998.   I told them that couldn't have been possible.  I already payed a huge amount of money each month.   I spoke to a lawyer and he said the same thing.   In the end I had to pay the remainder amounts on both student loans owed.   It actually put me into more debt.  I had to settle out one loan thanks to my husband's help.  The other loan I have virtually payed off now.  The consumer proposal actually put into more debt.  I have payed well over 39,000 and now I can see the end of the rainbow.  I owe less than 5,000.   It will be payed off in the next 7 to 8 months. I will never get another student loan from the government in my life.  You are better off going to the RBC and getting a student loan than getting government student loans.  This way you can actually pay it off and take part-time classes.  I learned from this experience you are better off getting a job and taking classes online and paying for them yourself.  I have one credit card and refuse to give anymore of my hard earned money to the government.  Shocked




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