Student Loans and Mortality: H.R. 5458 - Christopher Bryski Student Loan Protection Act

Student Loans and Mortality: H.R. 5458 - Christopher Bryski Student Loan Protection Act

From Mary Pilon, When Student Loans Live On After Death, Wall Street Journal, August 7, 2010:

As the college season nears, throngs of parents and students still are applying for private student loans, long used by students as an alternative to federal loans. But they may be unaware that in cases where the student dies, the co-signers often are obliged to pay off the balance of the loan themselves-a requirement typically not found in federal loans.

Read the Bryski Student Loan Protection Act (sponsored by Rep. John Adler and introduced in May) which would amend the Truth in Lending Act and require additional disclosures and protections for students and cosigners with respect to student loans. Among other things, the Act would require:

  • private educational lenders and institutions of higher education that provide student loan counselling to discuss advanced directives;
  • lenders to define the terms of cosigners' obligations; and
  • lenders to inform the signers and cosigners regarding the benefits of purchasing credit insurance;

Lexis.com subscribers can track the bill at 2010 Bill Tracking H.R. 5458 and view an enhanced version of the bill at 2010 H.R. 5458

Others discussing this topic:

Christopher's Law Blog

The Philadelphia Inquirer   

Wills, Trusts & Estates Prof Blog