There may be nothing further from a young and healthy new graduate’s mind than premature death. However, in the event the unthinkable happens, there is a very real risk that loved ones may be responsible to repay outstanding student loans. This has been amplified by recent media coverage of the horror stories of grieving parents getting stuck with their deceased children’s student loan payments. (For a few examples- here, here and here). While federal loans are typically forgiven, private loans are another story. The good news is that a new graduate can take some simple steps now to ensure their loved ones won’t be stuck footing their education bill.
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