Comments on: What happens to debt if you die? http://aspenfinancialgroup.com/what-happens-to-debt-if-you-die.htm Fri, 21 Oct 2011 00:09:40 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: rpg http://aspenfinancialgroup.com/what-happens-to-debt-if-you-die.htm/comment-page-1#comment-1910 rpg Wed, 21 Oct 2009 19:14:19 +0000 http://aspenfinancialgroup.com/what-happens-to-debt-if-you-die.htm#comment-1910 On the student loans: It depends whether they were Federally backed student loans or private student loans. Federally backed student loans die with the debtor. Actually, the Federal government is the guarantor of Federally guaranteed student loans, so on the death of the borrower, the Federal government pays off the remaining balance. Private student loans are completely different. Many private student loans do NOT die with the borrower and the co-signer IS liable for paying it off. There are (true) horror stories about students who died with high private student loan debt leaving the families to deal with not only the death of their loved one, but also very high loan balances and draconian bill collectors who harrass them for payments before the funeral has even taken place. On the student loans: It depends whether they were Federally backed student loans or private student loans. Federally backed student loans die with the debtor. Actually, the Federal government is the guarantor of Federally guaranteed student loans, so on the death of the borrower, the Federal government pays off the remaining balance.

Private student loans are completely different. Many private student loans do NOT die with the borrower and the co-signer IS liable for paying it off. There are (true) horror stories about students who died with high private student loan debt leaving the families to deal with not only the death of their loved one, but also very high loan balances and draconian bill collectors who harrass them for payments before the funeral has even taken place.

]]> By: Lynn http://aspenfinancialgroup.com/what-happens-to-debt-if-you-die.htm/comment-page-1#comment-1911 Lynn Wed, 21 Oct 2009 19:14:19 +0000 http://aspenfinancialgroup.com/what-happens-to-debt-if-you-die.htm#comment-1911 Well, it stays there but you don't have to put up with the stress of the debt. Well, it stays there but you don’t have to put up with the stress of the debt.

]]> By: sgooey http://aspenfinancialgroup.com/what-happens-to-debt-if-you-die.htm/comment-page-1#comment-1912 sgooey Wed, 21 Oct 2009 19:14:19 +0000 http://aspenfinancialgroup.com/what-happens-to-debt-if-you-die.htm#comment-1912 "...can any other person (you know...with a soul (sorry lawyers))..." Epic note. "…can any other person (you know…with a soul (sorry lawyers))…"

Epic note.

]]> By: Michael T http://aspenfinancialgroup.com/what-happens-to-debt-if-you-die.htm/comment-page-1#comment-1913 Michael T Wed, 21 Oct 2009 19:14:19 +0000 http://aspenfinancialgroup.com/what-happens-to-debt-if-you-die.htm#comment-1913 Normally a debt dies or is paid out of his estate if assets are available when a person dies but if someone cosigns, they will be responsible for the debt. It doesn't matter if he declared himself independent or not. The only thing that is important is whether someone cosigned or is a co-owner. Read the following under "Define Liability". http://www.ehow.com/way_5194874_happens-debt-someone-dies.html Normally a debt dies or is paid out of his estate if assets are available when a person dies but if someone cosigns, they will be responsible for the debt.

It doesn’t matter if he declared himself independent or not. The only thing that is important is whether someone cosigned or is a co-owner.

Read the following under "Define Liability".

http://www.ehow.com/way_5194874_happens-debt-someone-dies.html

]]> By: SGElite http://aspenfinancialgroup.com/what-happens-to-debt-if-you-die.htm/comment-page-1#comment-1914 SGElite Wed, 21 Oct 2009 19:14:19 +0000 http://aspenfinancialgroup.com/what-happens-to-debt-if-you-die.htm#comment-1914 All debts will be written-off! All debts will be written-off!

]]>