New Jersey Amends Legislation to Discharge Loans for Deceased Students

New Jersey recently amended legislation for their college loan program, no longer obligating a parent or guardian cosigner to repay the loan of a student borrower who has passed away. Testimony from grieving parents prompted the New Jersey legislators to modify student loan requirements. New Jersey’s student loan program was one of the strictest in the nation, coming under a substantial amount of criticism. The federal government and approximately one-third of private lenders also discharge student loans after the student has passed.  

See Jerilyn Klein Bier, N.J. Is Discharging Loans for Families of Deceased Students, Financial Advisor, February 21, 2017.