What is the statute of limitations on student loans?

Answer by  djb228 (510)

It depends on the type of loan. There is a clause in the federal Higher Education Act stating that there is no statute of limitations on federal student loans (Pell Grant, etc.). Federal laws over-rule state and local laws. For state-backed student loans, the statute of limitations varies by state.

Answer by  okcmouseketeer (779)

There is no statute of limitations, you also can't declare it in a bankruptcy, nor can it be settled for a lesser amount for cash payment.

Answer by  cynosure (376)

There is no SoL on federally-insured student loans. If you prove undue hardship in a bankruptcy court, you may be granted a discharge of the loan. Otherwise, it is forever.

Answer by  John (9008)

Currently, there is no statute of limitations for student loans. Creditors and guarantors can pursue you for the balance (including penalties and interest) forever.

Answer by  hightide (131)

Since 2005, there are no longer statute of limitations. Student loans will never be erased from your credit report even if you declare bankruptcy.

Answer by  MarkWatrous (729)

Sorry, the Department of Education can collect on any student loan no matter how old it is: this includes capturing your income tax refund, filing suit against you and garnishing part of your paycheck. Look up §484A(a) of the Higher Education Act of 1965. There is no statute of limitations.