Parent Plus Loan Repayment/Disability
Hello Terry, My husband took out Parent Plus loans for our son's college tuition. Since doing that, he has lost his job and also been diagnosed with end stage renal disease. He is currently on dialysis and list for transplant. There is no way at this point we can afford the monthly repayments. Loans are in forbearance.Any ideas how to get the debt reduced/forgiven/other options? Should we contact an attorney? Loan servicer Nelnet has been little help. Thank you!!
Terry Says
This is sad -- and the even more morbid answer is that if he dies (and assuming you did not sign for the loans), it will be almost impossible for the lender to collect from his estate -- unless there are a lot of assets available to the estate. The typical response to a defaulted Plus loan is for the government to attach the borrower's Social Security benefits. And although I'm not a lawyer, I doubt they could take money from YOUR benefits, even if you are collecting on his earnings record. It sounds you have a lot of other things to worry about at this point. As long as the loans are in forbearance, I would just wait it out. If they really come after you, I will try to find you a good attorney who specializes in student loan debt.
