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  • FIRST POST
    • Prothet of Doom
    • By Prothet of Doom 2nd Feb 19, 3:20 PM
    • 3,145Posts
    • 3,796Thanks
    Prothet of Doom
    Student Loans and Death question.
    • #1
    • 2nd Feb 19, 3:20 PM
    Student Loans and Death question. 2nd Feb 19 at 3:20 PM
    I have a question or 3.

    If someone have an outstanding student loan debt, and money or assets like a house and were to die, does the money and assets in their estate have to be sold to pay off the debt ?

    Or because they no longer have an income, (due to not being able to actually get up to go to work), then the debt would eventually be written off.

    I ask this because say that person was a single parent and had taken out life insurance to protect their loved one's it would mean that the there would be less in the estate? It might even mean that a jointly owned house would have to be sold.

    anyway answers welcomed by those who read the small print.
Page 1
    • CakeCrusader
    • By CakeCrusader 2nd Feb 19, 4:08 PM
    • 741 Posts
    • 433 Thanks
    CakeCrusader
    • #2
    • 2nd Feb 19, 4:08 PM
    • #2
    • 2nd Feb 19, 4:08 PM
    Student loans are written off if the lender dies. https://www.slc.co.uk/students-and-customers/loan-repayment/loan-cancellation-and-refund-information/cancellation-disability-or-death.aspx
    • Prothet of Doom
    • By Prothet of Doom 2nd Feb 19, 4:21 PM
    • 3,145 Posts
    • 3,796 Thanks
    Prothet of Doom
    • #3
    • 2nd Feb 19, 4:21 PM
    • #3
    • 2nd Feb 19, 4:21 PM
    Simple answer is to find and read the small print. Cheers
    • CakeCrusader
    • By CakeCrusader 2nd Feb 19, 4:42 PM
    • 741 Posts
    • 433 Thanks
    CakeCrusader
    • #4
    • 2nd Feb 19, 4:42 PM
    • #4
    • 2nd Feb 19, 4:42 PM
    It takes a few seconds to do a google search. Type in what you're looking for and there it is
    • Ed-1
    • By Ed-1 2nd Feb 19, 6:17 PM
    • 2,508 Posts
    • 1,315 Thanks
    Ed-1
    • #5
    • 2nd Feb 19, 6:17 PM
    • #5
    • 2nd Feb 19, 6:17 PM
    *you mean borrower

    http://www.legislation.gov.uk/uksi/2009/470/regulation/19/made
    as amended by
    http://www.legislation.gov.uk/uksi/2012/1309/regulation/7/made
    http://www.legislation.gov.uk/uksi/2013/607/regulation/5/made
    http://www.legislation.gov.uk/uksi/2017/831/regulation/11/made

    (3) The Authority or loan purchaser must cancel the borrower’s liability to repay the student loan or the postgraduate master's degree loan when one of the following occurs—

    (a) the borrower dies;
    (b) the borrower receives a disability-related benefit and because of the disability is permanently unfit for work;
    (c) in the case of post-2006 student loans, the 25th anniversary of the date on which the borrower became liable to repay the student loan;
    (d) in the case of student loans which are not post-2006 student loans and not post-2012 student loans, the borrower reaches the age of 65;
    (e) in the case of post-2012 student loans, the 30th anniversary of the date on which the borrower became liable to repay the student loan;
    (f) in the case of post-2012 student loans for Access to HE Diplomas where a borrower has achieved at least one Access to HE Diploma and the Authority is satisfied that the borrower, who was an eligible borrower, completes a designated course; or
    (g) in the case of a postgraduate master’s degree loan, the 30th anniversary of the date on which the borrower became liable to repay the postgraduate master’s degree loan.
    Last edited by Ed-1; 02-02-2019 at 6:19 PM.
    • CakeCrusader
    • By CakeCrusader 2nd Feb 19, 6:27 PM
    • 741 Posts
    • 433 Thanks
    CakeCrusader
    • #6
    • 2nd Feb 19, 6:27 PM
    • #6
    • 2nd Feb 19, 6:27 PM
    Yup, that's the one. Sorry, I was trying to multi task (and doing a bad job).
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