[Oasfaa] Bankruptcy Scenario

[Financial Aid Director]

The debt is the debt owed to the school and it has to be forgiven.

On Thu, Jul 21, 2016 at 12:06 PM, Melanie Rinehart <M.Rinehart at sscok.edu>
wrote:

> Dear Colleagues,
>
>
>
> We had a student that received student loans and had a $0 balance. Then
> the student withdrew and a R2T4 was performed, which resulted in money
> being returned. We returned the money through G5, which created a balance
> on the student’s SSC account.  Now we have received noticed that the
> student has filed bankruptcy.  Do we have to forgive his debt on our
> books?
>
>
>
> We know that if it was just a balance that we would have to forgive it,
> but we weren’t sure since it was technically student loan money?  Or is it
> only student loans held by a servicer that is protected from student’s
> filing bankruptcy?
>
>
>
> Many thanks in advance!!
>
> *Melanie Rinehart, MBA*
>
> Director of Financial Assistance
>
> 2701 Boren Blvd
>
> P.O. Box 351
>
> Seminole, OK 74868
>
> Office: 405.382.9717
>
> Fax: 405.382.9579
>
> m.rinehart at sscok.edu
>
>
>



-- 


*Kellye JohnsonDirector of Financial AidSouthwestern Christian
University7210 NW 39th ExpresswayBethany, OK 73008-2335fadirector at swcu.edu
<fadirector at swcu.edu>405-789-7661 ext.3456Fax: 405-495-0078*
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