Reach Out Today

If you or someone you know needs financial help, please do not wait to retain counsel. Contact Lewis Roberts, PA today!

Have You Cosigned Someone Else’s Student Loans?

by Lewis Roberts, Florida Bankruptcy Lawyer

Here is another gut wrenching story.  Not only to lose a child, but then be harassed by a creditor…

Grieving parents hit with $200,000 in student loans

If these had been federal student loans, Mason could have had the loans discharged or at least received some sort of financial assistance. But since they are private loans, he has little to no recourse.

He called each lender to explain his situation and beg for help, and while they sympathized with him, they told him they weren’t required to do anything.

And they’re right: private lenders aren’t bound by any federal requirements to help borrowers — or co-signers — facing financial hardship, even when it’s a parent whose child has passed away, says Deanne Loonin, an attorney at the National Consumer Law Center. Any loan forgiveness is up to the discretion of an individual lender.

This is certainly not the first story, and it certainly won’t be the last, with the same facts.

But I saw something interesting the other day, and I won’t take one bit of credit…

A smart parent who agreed to co-sign the student loan, but required an life insurance policy on the child.  If the child were to die, the insurance policy would pay enough to satisfy the student loans.

While this doesn’t protect the co-signer if the student isn’t able to pay in the future due to lack of income, it is a great idea.  We certainly think of life insurance on ourselves, if we were to pass early, for the benefit of our children…

Not enough people think about what were to happen if a child were to pass before the parent.  Unfortunately, because people don’t want to think about something so awful, it doesn’t get addressed as often as it should.

Barring health issues, a life insurance policy on a college age person for $100,000, or even $200,000, is so minimal that this should be a must for anyone agreeing to be a co-signer.


{ Comments on this entry are closed }

Student Loan Questions Answered for Graduates

Recently, I was asked to answer some questions for an upcoming article on student loans.  Below is the excerpt to be published. Do you have any tips for a working college freshman who has just taken out student loans? Should they aim to start saving to pay their loans back right away? ​If they are […]

Read the full article →

Who Is Dyck O’Neal and Why Is He Suing Me?

Dyck O’Neal Lawsuits in Orlando, FL I was at the courthouse the other day looking at lawsuits filed in Orange County in State Court. I only looked at lawsuits filed during May 2014. There were over 100 lawsuits filed by Dyck O’Neal Inc against various defendants.  Again, this is Orange County alone.  It does not include other […]

Read the full article →

Florida to Give Aid to Underwater Homeowners

First come, first serve.  Applications open September 25, 2013 to receive up to $50,000 in aid for your underwater mortgage.,0,4470130.story Eligibility requirements include, but are not limited to, the following: Must be a Florida resident and a legal US resident/legal alien; Must occupy property as primary residence; Must be current on the monthly mortgage […]

Read the full article →

Student Loans – Ask Me How I May Be Able to Help You

I am shamelessly stealing a Tweet I saw the other day: Befriend shady people. Witness a murder. Enter witness protection & get new name. So long student loans! If you feel that is what it takes to get rid of student loans, please call me at 407-749-0080.  

Read the full article →

Chapter 13 and Your Plan Payments

Was your Chapter 13 filed in Orlando or Jacksonville Bankruptcy Court? If so, your payment plan is due within 30 days of filing your case. It does not matter if you haven’t attended your meeting of creditors yet – the trustee must receive your plan payment, and it’s your job to make sure the money is where […]

Read the full article →

Chapter 13 Bankruptcy

Chapter 13 bankruptcy in Florida can be difficult, and putting their faith in a lawyer you can trust is important. For most people in Florida, Chapter 13 involves the reorganization of finances over a period of 3-5 years, so you should have a bankruptcy attorney there with you throughout the case. If you have assets you want […]

Read the full article →

Chapter 7 Bankruptcy

Declaring Chapter 7 bankruptcy can be a way for Florida consumers to break different types of debt and start again, without the constant harassment from creditors. Most people think of Chapter 7 bankruptcy when they think of getting out of debt, and that’s because it is the most common way to end your debt problems. Most people […]

Read the full article →

Bankruptcy Alphabet: I is for Insurance

Are you sure that you have insurance coverage on your home? You may think you do. But if you are one of many people who are: behind on mortgage payments; in the middle of a short sale; going through a strategic default; or filed bankruptcy and surrendered the home you may not have the insurance […]

Read the full article →

Bankruptcy Alphabet: H is for HOA (Homeowners Association)

Yes, your HOA, or homeowners association, can foreclose on you. Yes, your HOA can get you out of your home and rent it to someone else. There is much confusion over what your homeowners association can do to you if you stop paying your dues. It gets especially tricky when someone is not paying their […]

Read the full article →