You’re better off taking out a 2nd mortgage or borrowing against your own 401k.
This method still passes the debt upon death I believe. All it does is “buy your kid time”.
what the hell are you talking about? you cannot inherit debt in the united states unless it’s been agreed upon contractually, which in the case of students loans it virtually never, ever is.
It doesn’t pass on debt, but it does gobble up any assets you may hope to pass on as inheritance. You can’t inherit debt (yet) but debt must be paid off from the estate before anything else.
There are ways to protect your assets from that as well. Also, it’s probably more appealing to someone like me who expects to have very little in assets when I die.
This is an interesting possibility. I’m going to run it by my kid and see if he’s interested.
You’re better off taking out a 2nd mortgage or borrowing against your own 401k. This method still passes the debt upon death I believe. All it does is “buy your kid time”.
what the hell are you talking about? you cannot inherit debt in the united states unless it’s been agreed upon contractually, which in the case of students loans it virtually never, ever is.
But it would be taken out of any inheritance they’d have gotten.
It doesn’t pass on debt, but it does gobble up any assets you may hope to pass on as inheritance. You can’t inherit debt (yet) but debt must be paid off from the estate before anything else.
There are ways to protect your assets from that as well. Also, it’s probably more appealing to someone like me who expects to have very little in assets when I die.
The article says these loans are discharged at death of the parent
Fucking read before commenting with lies.