The problem that my wife and I are confronting.  My wife submitted a consumer proposal in 1998.  At which point she was told by the Trustee that it would resolve her of all debt, student loan included.  She was not hiding, but assumed her debt was paid off, and submitted tax returns, and even received cash back from the governement.  In November 2007 the feds collection contacted us and told us that tax returns would be garnished going forward unless we paid of the debt, and so we borrowed money to pay that off.  We also paid of the provincial portion of the debt.  This was a lot of money and tapped out our resources.  We also contacted the bank but they refused to talk with us.  Now the banks collector wants us to pay them, says that they will not negotiate and they will take us to court unless we give them 30,000 dollars by monday, which simply is not going to happen.