Student loans are almost impossible to discharge entirely through a bankruptcy filing in Asheville and around Western North Carolina. However, in some situations you are allowed to favor student loan creditors in your Chapter 13 case. By setting up this type of plan, you can reduce the amount you owe on student loans instead of that same money going to credit card companies who will be discharged at the end of your case.
In order to do this, you must be below the median income, and qualify for a 3 year plan instead of a 5 year plan. You could still choose to stretch your payments out over 5 years. During the last two years of your plan payments, you may be permitted to pay down your student loans instead of credit cards.
This gets complicated, obviously, so it is important for you to get good advice from a bankruptcy attorney before deciding your next step. For those of you in WNC, I would be happy to speak with you during a consultation.