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IN THE UNITED STATES BANKRUPTCY COURT
FOR THE NORTHERN DISTRICT OF WEST VIRGINIA
IN RE
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SHANNON LYNETTE EDDY,
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Case. No. 1:05-bk-02523
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Debtor.
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SHANNON LYNETTE EDDY,
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Plaintiff,
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Adv. Pro. No. 1:05-ap-00210
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v.
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EDUCATIONAL CREDIT
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MANAGEMENT CORPORATION, and
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U.S. DEPARTMENT OF EDUCATION,
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Defendants.
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MEMORANDUM OPINION
Shannon Lynette Eddy (the “Debtor”) seeks to discharge government-guaranteed student loans
owed to the U.S. Department of Education (“DOE”), under the William D. Ford Federal Direct Loan
program, and to the Educational Credit Management Corporation (“ECMC”), on the grounds that
repayment of the loans would constitute an undue hardship on her and her dependent child. The DOE
and the ECMC object to the requested relief. For the reasons stated herein, the court finds that
repayment of the debts does not constitute an undue hardship, and, thus, the loans are excepted from
discharge pursuant to 11 U.S.C. § 523(a)(8).
Dated: Thursday, September 28, 2006 12:35:00 PM
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I. BACKGROUND
The Debtor is a 34-year old single mother. She has one dependent, a four-year old daughter.
They reside with the Debtor’s parents. She has no major medical problems and is currently in good
health.
During the years 1989 through 2004, the Debtor attended three separate educational
institutions. From 1989 to 2001, she attended Salem International University and earned a Bachelor of
Arts in criminal justice and psychology. Although she did not complete the programs, from 1995 to
1996 she studied business and office technology at Webster College and accounting and finance at
Fairmont State University from 2002 to 2004. Her education was financed with government-
guaranteed student loans, which had a balance of $62,461.00 as of May 24, 2006. In addition to
deferring payments on her student loans, the Debtor has entered into several forebearance agreements.
Although the Debtor has paid one student loan in full, she ceased making payments to the ECMC in
2000 and failed to make a single payment