Question:
My girlfriend filed chapter 13 one year ago on her studen loan (in new york state). She has about 40k in student loan and 15k in credit card debts. Now she has to pay the student loan plus about half of the credit cards debts back. She was told that she had to file chapter 13 (vs. chapter 7) because otherwise she would still have to pay interests in the student loan. Is that information right? (that was the only reason, no house or other ets etc. to protect) Otherwise I would think chapter 7 would save money?

Answer:
Student loans are not dischargeable in a Chapter 7 except in cases of "undue hardship," generally a very difficult standard to meet. Interest stops accruing once the Chapter 13 is filed. It sounds as if the Chapter 13 makes sense for her.