Are student loans a marital asset?
Are student loans a marital asset?
This is not always the case. Legally, any student loan debt you incurred before getting married is considered separate property and remains so after the divorce (unless a prenup states otherwise). So if you borrowed $70,000 to attend law school before marrying your spouse, that debt is yours.
Can a person be responsible for their spouses student loans?
Marrying someone with student loan debt won’t make you liable for their loans. No. Student debt that you bring into a marriage remains your debt. Let’s say you have $30,000 in federal student loans and $40,000 in private student loans when you get married. Your spouse might help pay down your debt, but you’re the only one legally responsible.
What to do if your married with student loan debt?
The path to success when you’re married with student loan debt is to create a joint plan to pay it off. Now, this doesn’t mean that one spouse pays off another one’s student loan debt.
What happens to my student loan if my spouse dies?
If you cosigned on a private loan with your spouse and they died, you may have to continue making loan payments. While it’s not common, some private loan lenders — such as Sallie Mae — will wipe out the debt if a student loan borrower dies.
Can a spouse cosign on a federal student loan?
No. Federal student loans don’t require cosigners. (A spouse can cosign on a partner’s income-driven repayment application, but you’re not obligated to repay the loan.)
Is it hard to get married with student loans?
She specializes in divorce, death, career changes, and caring for aging relatives. Student loans and marriage can be a tough combination, especially for engaged or newlywed couples. Student loan payments can add extra stress and costs that make it harder to save for your future together.
Marrying someone with student loan debt won’t make you liable for their loans. No. Student debt that you bring into a marriage remains your debt. Let’s say you have $30,000 in federal student loans and $40,000 in private student loans when you get married. Your spouse might help pay down your debt, but you’re the only one legally responsible.
What happens to Sallie Mae student loans after death?
Some private lenders, including Sallie Mae, will discharge or waive the current balance of the student debt after a borrower’s death. 3 Review your lending agreement to see if it provides any details about how private student loans are handled in the case of a death. If the lender doesn’t discharge the loan, the balance won’t go away.
No. Federal student loans don’t require cosigners. (A spouse can cosign on a partner’s income-driven repayment application, but you’re not obligated to repay the loan.)