Question: What happens to student loan debt if the borrower dies?

I had four life changing events happen over a lifetime which kept me either deferred or paying minimum payments. I have paid $30k on a$18 k loan and still owe $5k. I am 63 years old. I have a grand total of $44k saved -- $5k in a roth and 39k in an ira. I am deferred yet again. I am NOT going to pay another dime... but am told I will have my wages garnished. What is crazy is this debt isn't even mine. It is a parent plus. What are they going to do follow me to the graveyard and demand payment from my heirs?

Response:

Hi there, I'm sorry to hear about your complicated situation with this loan! The answer to your question is quite simple, however. The lenders will not follow you to your grave -- or at least they won't go after your heirs: ParentPLUS loans are discharged if the borrower dies. Click here for more: http://www.parentplusloan.com/repayment/forgiveness.php 

Log in to post Comments
With Generous Support From...