Quote:
Originally Posted by Surprise
Think outside the box. Use your credit cards, home equity, and any other dischargeable debt you can get your hands on to pay off your student loans, then file BK. I'm not advocating this, but it could be done.
I know of one FO who put all his flight training on CCs back in the days where they were handed out like candy. In Arizona he said there is something like a 3 year limit that they have to pursue bad debt. After 7 years it is completely wiped out. He ended up not paying a dime on his loans, took the 7 year hit and does quite well today.
He learned this from someone else so more than a few people have done it successfully from what he told me. Now how someone would get over 100k for a line of credit in todays environment I have no idea. I know of one other guy who took a 2nd mortgage during the housing boom to pay off all his student debt(almost 150k worth). He figured the value of his house would keep going up so he would come out ahead. The market tanked and he walked away and just let it foreclose. Today he is debt free. If you are creative there are ways to get rid of student loans. Now as far as the ethics go, I personally believe you should pay your debts but I also do not weep for the crooked bankers either.
It is truly amazing how much the cost of an education has gone up. I only paid about 20K for my flight training and about 10K for my 4 year degree. Granted this was in 1997/98ish when gas was much cheaper. I got a 152 for $40/hr and a 172 for $55/hr. Those were the days.