Legal Question in Credit and Debt Law in Iowa

I have been married to my husband for almost four years. In 2006 he co-signed on a student loan for his son through Sallie Mae. In 2007 he refinanced the loan and it was in his name alone. His son never finished school and my husband has been trying to get his son to pay on it, since he now has a good paying job. There is an 8% DAILY interest charged on this loan, that my husband was not aware of. I am not working and we need for his son to pay it each month, but he's not. We are legally responcable for the loan, so if my husband were to die would the legal responsibility fall to me? And if it would is there any legal action I could take against his son NOW? We don't have the financial means to try to get another loan to pay this one off. We tried to get a loan by borrowing against our house, but it didn't appraise high enough to do it. My husband has already paid nearly $9,000 toward this loan. The origination amount was around$13,000, but with the daily interest they show we still owe over $8,000. Any advise?


Asked on 12/12/12, 9:40 am

1 Answer from Attorneys
Robert Luedeman solo practitioner

If your husband dies before you his estate would be responsible for the debt but it seems as if the debt is his and his alone. If your son does not want to pay back his student loans the chances of you being able to compel him to pay you are slim to none.

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Answered on 12/12/12, 8:14 pm


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