Will You Lose Any Inheritance to Pay Student Loans – Maybe

Martha Standish took out student loans when she was in her late 40s to get an undergraduate degree in accounting. Later she took out a Parent Plus Loan to help her daughter with college expenses. Eleven years after graduating, Standish filed an adversary proceeding in a Kansas bankruptcy court seeking to discharge about $30,000 in … Read more

Will My Inheritance Increase My IBR Student Loan Payment?

Question: Dear Steve, I have about $70,000 in student loans, currently on income based repayment and my payments are zero because of my current income. My mom has me as her sole inheritor. Her lawyer (who has since passed) told her the government won’t touch my inheritance when she dies. I think the exact opposite. … Read more

I Inherited Some Money But Unemployed. The Money is About Gone and Left In Debt. – Jane

“Dear Steve, I have been unemployed since 2010. I had inherited some money when my father passed away in 2005 and was able to continue meeting my needs and paying my bills. Unfortunately because of emotional issues, I really did not have a good grasp of the kind of money I was spending. I was … Read more

How Should I Use My Inheritance to Reduce My Debt? – Jason

“Dear Steve, Huge amount of credit card debt. One card 40K @ 7.99%, another 7K @ 11.99%, 8.5K @ 3.99%, and 4K @ 21.99%. Plus, 2 car loans total 20K @ 6.99%(these vehicles are used for work/pleasure – 85/15). My income is down from an average of 100K to now about 45K( economic influences beyond … Read more

Do You Have a Will? If Not, It’s Time For You to Write Your Will.

It’s a subject that none of us want to think about. Whether we’re young and just starting life or older and approaching the end, we don’t want to think about our own death. And, adding money to the mix only makes it worse. But, the truth is that all adults need to think about what … Read more

Can Student Loans Take Part of Our Inheritance? – Lisa

“Dear Steve, My husband is recieving a 22.000.00 inheritnance, he has student loans out there, Student loans take a percentage of his disability, my question is can the Student Loans take his inheritnance money? We want to pay our credit cards off, pay my mother back for money borrowed and put back money in my … Read more

Will We Be Able to Keep An Inheritance in Bankruptcy? – Jeff

“Dear Steve, Due to business going bad, serious health problems that has prevented me from working regularly, new jobs closing, caregiver to aging parents, death of 3 of our 4 parents in past 2 years, victim of builder fraud, we were forced into bankruptcy chapter 7. Your site has proved helpful to get us over … Read more

Should I Wait For Grandma to Die So I Can Pay My Debt? – Jack

“Dear Steve, I have credit card debt of $95000, 2nd mortgage of $40000, 1st mortgage of $140000. My house is worth perhaps $300000. I make $115000 annually plus bonus in good years of 15%. This wasn’t a good year, so there was none. My stock options are now under water (worth zero). I’m using my … Read more

Should I Use an Inheritance to Pay Down My Student Loans? – NW

“Dear Steve, My father passed in 2008. He left me approx $50,000 from his 401k account. I’m able to leave the money in the account for 3-5 years. At that time, I’m considering using that money to pay down my $109,000 student loan consolidated debt. Will the tax liabilities be worth it? My current gross … Read more