Paying down student loan for senior
I'm 74 and have a student loan. I am on income based repayment plan. Since I've used YNAB, I've prioritized other debts over the student loan since my heirs won't inherit it after I die. Any thoughts on whether my thinking is accurate?
If there's no possible way you will pay it off or have it expire before you die, I'd pay the minimum amount possible until that point. You're correct that student debt cannot be inherited as long as no one co-signed with you. Make sure your heirs are aware they do not need to pay in case bill collectors call them after your death. They will need to submit proof of death though to get it cancelled.
Hi Slate Gray Octopus !
Since you're on an Income Based Repayment plan, it sounds like these are Federal Student Loans - is that right? If so, your thinking is accurate as long as n one else co-signed on those loans. If you have private student loans, the same rules don't necessarily apply and you'd need to check with the loan issuer to see their specific protocol for handling loans after death.