Quite often individuals who have student loans and they are not able to make their payments will take out cash advances on their cards to help with the payments. Over a period of time the credit card debt which usually comes with high interest rates gets out of control. The individual may have to opt for a Chapter 7 bankruptcy.
Being as credit card debt is basically an unsecured debt, most often it gets discharged as a result of the bankruptcy. Some people look at this as an alternate way of using bankruptcy to get rid of their student debt.
These individuals become shocked to discover that this is not acceptable student debt loan relief. Most often this cash advances will be acceptable for debt discharge in either of the common bankruptcy options which is the Chapter 7 and Chapter 13.
Credit card companies realize that normally the money owed to them will be discharged. They may have the right to ask that it not be included if they can show the debt was incurred because of a fraud. Or the cash advances were used to pay off a debt that would not be discharged in a bankruptcy which is normally the case with student debt.
If you have used your credit card for this purpose and are entering into a bankruptcy, you really need to discuss this matter with a student loan lawyer who fully understands both bankruptcy and student loan debt.