Comments on: Help! My Child Isn’t Making Parent PLUS Loan Payments

By: Michael P. Lux, Esq.

Michael P. Lux, Esq. — Fri, 25 Aug 2023 13:44:08 +0000

In reply to John Sturgeon. I've never heard of a settlement like the one you are describing working for a federal loan in good standing. Generally speaking, settling student debt balances for any sort of relief is difficult. It's a good question and a reasonable theory, but the government doesn't have any incentive to accept a negotiated settlement.

By: John Sturgeon

John Sturgeon — Thu, 24 Aug 2023 10:37:12 +0000

If I were interested in paying off my student loan in full, is there a way to negotiate a smaller than balance due settlement? Say for example, reducing loan payoff by the interest accumulated in the past?

By: Michael P. Lux, Esq.

Michael P. Lux, Esq. — Tue, 13 Dec 2022 21:23:11 +0000

In reply to Howard Marks. A civil suit brought by a parent over non-payment of Parent PLUS loans would depend upon the tort laws of the state in which you reside. Its a question about student loans, but it is best answered by a local attorney. As far as parent plus loans being required to secure grants or other student loans, that is not accurate. There have been many different grant programs over the years, but I've never heard of one that required the parent to borrow a Parent PLUS loan.

By: Howard Marks

Howard Marks — Tue, 13 Dec 2022 00:56:01 +0000

I am curious as to whether it is possible for a parent to sue a child, who benefited from student loans, for unjust enrichment.

The DOE agents, when March came around, told me that in order for students to get grants and their own loans, that credit-worthy parents needed to take out parent-plus loans. I hear, now, mixed stories on that. What is the truth?

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