Many borrowers don’t know that if they have been involved in a bankruptcy, sometimes student debt can be erased and that private student loan collection companies may no longer hassle them.

Regardless, some private student loan collection lenders still may try to collect on debt to which they may not be entitled.

Certain types of student loans can be automatically discharged in the case of bankruptcy. If a borrower has a student loan that meets the following two criteria and has been through bankruptcy since 2005, they may qualify to have that debt erased.

• The loan was made by a private, for-profit lender
• The loan was for a non-traditional form of education and not for a traditional four-year college (or qualified educational expenses).

When a loan is not classified as “qualified education expenses” this kind of debt may be discharged. If a private student loan collection lender is still attempting to collect on such a debt, this may be against the law.

If a borrower received their student loan check in the mail and the finances were not funneled through their school’s financial aid office, this also may indicate that the loan was not for “qualified educational expenses.”

There are many types of educational student loans that could possibly be erased in the case of bankruptcy. Some of these include:

Private student loans that may be dischargeable in bankruptcy include but are not limited to the following:

• Career Training Loans
• Culinary School Loans
• Bar Exam Loans
• Computer Training School Loans
• Cosmetology School Loans
• Non-accredited Law School Loans
• Art School Loans
• Community College Student Loans
• Continuing Education Student Loans
• Fitness School Loans
• Mechanic School Loans
• Technical College Loans
• Religious School Loans
• Online Education School Loans

What is the FDCPA?

The FDCPA or the Fair Debt Collection Practices Act was brought into law in 1978 to protect borrowers from unfair debt collection by collectors. This includes private student loan collection agencies. Even though the FDCPA is in place, some collection companies still violate it.

Some ways in which a private student loan collection agency can violate the FDCPA include debt collection harassment, telephone harassment, false statements and deceptive practices, collection of expired debts or debts that aren’t owed, making improper reports to credit agencies, improper communication with third parties and failure to cease communication upon request.

If you have borrowed money in the form of a student loan and have experienced bankruptcy since 2005, you may eligible to have your debt discharged. There may be legal options to prevent private student loan collection agencies from illegally contacting you.