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Topic: US Student loan repayment question  (Read 1631 times)

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US Student loan repayment question
« on: July 04, 2018, 04:59:52 PM »
I just got married in the UK and now reside in the UK with my English husband. The time has come for me to re-certify my federal student loans on an IDR plan and I am really stumped. Because my income has changed since my last tax return (filed as single as I was not married during the previous working year), I need to fill out the "alternative document" form. This requires me to enter my spouse's SSN and tax return info etc but he obviously doesn't have either. Right now I am not working and I live in the UK, and he is a non-resident alien for US tax purposes.

What information do I need to provide the loan servicer? A cover letter explaining the situation? If I need to show proof of his income, what form should that take? Or should I just select the option to base my student loan payments for this year on last year's tax return, even though I'm not working anymore? They won't ask questions if I do that, but I may end up paying more per month.
Applied from: USA
Submitted online application (priority, fiance): 12/21/2017
Biometrics appointment: 12/26/2017
Package mailed to Sheffield: 12/27/2017
Received in Sheffield: 12/29/2017
"Decision made" e-mail received: 1/8/2018
Documents returned: 1/10/2018 - Approved!


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Re: US Student loan repayment question
« Reply #1 on: July 04, 2018, 05:09:12 PM »
Best to contact your student loan company and ask.  Each company will have different rules.


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Re: US Student loan repayment question
« Reply #2 on: July 05, 2018, 02:39:39 PM »
Something to consider - you can get a hardship deferment (usually) if you're not working. Not sure how they handle income of spouses - I can't imagine he'd be responsible for your debt, so perhaps they won't count his income?

You might want to look into a program like RePaye - it is an income based consolidation program of the Department of Education,  if you have significant debt. You would be able to have a lower payment for 20 years, and then the rest would be written off. (Careful with that last bit, as you would be responsible for the taxes on the write-off unless you were "insolvent" at the time - that is, you owe more in debts than you have in resources at that time.)


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