Reviewed program guide
Student Loan Discharge After a Death
Federal student loans can be discharged when the borrower dies, and a parent's PLUS loan can be discharged when the student dies. There is no application form to complete. The loan holder needs acceptable proof of death, and we can carry that correspondence so your family does not have to.
We are sorry for your loss. If someone in your family had federal student loans, this is one of the few pieces of their debt that can be closed out fairly simply. Federal rules provide for discharge of a borrower's federal student loans on the borrower's death. They also cover a second situation families often miss: when a parent borrowed a PLUS loan for a student and the student dies, the parent's obligation on that loan can be discharged. There is no form to download. No federal application exists for this. What the loan holder needs is acceptable proof of death, sent to the right place with enough account information to match it to the loan. Families do this themselves at no cost. We exist for families who would rather not deal with servicers right now.
Reading this guide does not decide eligibility. The free screening checks your answers against reviewed routing criteria.
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We are preparing a reviewed, captioned explainer for this program. The written guide below is available now.
At a glance
Overview
We are sorry for your loss. If someone in your family had federal student loans, this is one of the few pieces of their debt that can be closed out fairly simply. Federal rules provide for discharge of a borrower's federal student loans on the borrower's death. They also cover a second situation families often miss: when a parent borrowed a PLUS loan for a student and the student dies, the parent's obligation on that loan can be discharged. There is no form to download. No federal application exists for this. What the loan holder needs is acceptable proof of death, sent to the right place with enough account information to match it to the loan. Families do this themselves at no cost. We exist for families who would rather not deal with servicers right now.
Who it may help
This page is for the person handling the affairs: a spouse, a parent, an adult child, an executor, or someone else acting for the family. It is also for a parent who borrowed for a student who has died, and for anyone whose Direct Consolidation Loan absorbed a PLUS loan of that kind. Who may submit the proof is not settled cleanly in the rules. Federal Student Aid describes a family member or other representative, individual loan holders apply their own practices, and California probate paperwork such as letters of administration is sometimes asked for. We look at that question early so no one is turned away twice. Screening can organize preliminary facts and records, but screening cannot determine qualification or select a final path.
How it works
The work is short and mostly clerical. First we identify every federal loan, and whether any of them is a Direct Consolidation Loan that repaid a parent PLUS loan, because a consolidation loan is treated differently: only the portion traceable to that PLUS loan is reached. Proof of death then goes to each loan holder with the account details that let them match it to the right file. The rules allow those documents to be sent electronically, which is why none of this requires a trip to an office. The holder reviews the proof and applies the federal rule. Some deaths are confirmed by the Department itself through an approved federal or state death record database, in which case a family submission may turn out to be unnecessary. Administrative support can help organize forms, records, and communications; it does not replace the decision-maker's review.
Documents and next steps
One document usually carries the whole matter: an original or certified copy of the death certificate. A clear and complete photocopy of that certificate is also acceptable under the federal rule, and it may be scanned or faxed, so the original never has to leave your hands. If no death certificate can be obtained, the rule allows other reliable documentation to be accepted case by case, such as verification from a county clerk, a letter on letterhead from a funeral director or member of the clergy, or a published death notice. Loan holders differ on what they will take, and this is discretion on their part rather than something a family can insist on. For a Perkins loan still held by a school, that judgment sits with its chief financial officer. Alongside the proof, the holder needs the deceased person's name and Social Security number, and for a parent PLUS loan, the student's too. The next step is to compare the records with the cited official source and any current instructions issued by the responsible agency, court, creditor, or other decision-maker.
Read this carefully
Important considerations
Private student loans are not covered here. This federal rule reaches federal loans only, and a private lender's treatment depends on its own contract and on whether anyone co-signed. Collection activity sometimes continues while a discharge is pending, and a servicer may keep contacting the family. That is common, and it is one of the things we take over. On taxes, current federal law excludes a discharge on death from federal taxable income when the return reports the required Social Security numbers. A servicer may still issue a 1099-C, which is alarming to receive and does not by itself mean tax is owed. Whether California treats the discharge the same way belongs with the estate's tax preparer. Attorney judgment is separate from administrative help and is required for individualized legal strategy or advice.
Common questions
Frequently asked questions
These answers provide general information. Your facts and records determine what may apply.
Is there an application form we need to fill out?
No. The Department of Education publishes no death discharge application, and any site telling you to download one is out of date. What the loan holder needs is acceptable proof of death delivered to the servicer, along with enough information to identify the account. If a servicer hands you a form, that is the company's own intake paperwork, not a federal application.
The student died, but I am the parent who took out the loan. Does that count?
It can. Federal rules treat the death of the student a parent borrowed for as a basis to discharge that parent's PLUS loan. One wrinkle matters: if the PLUS loan was later folded into a Direct Consolidation Loan, only the part of the consolidation loan attributable to that PLUS loan is reached, and the rest remains. Bring the consolidation paperwork so the loans can be traced.
Will the family owe taxes, and what is the 1099-C we received?
Current federal law excludes a discharge on death from federal taxable income when the return reports the required Social Security numbers. A servicer may nonetheless issue a 1099-C, and receiving one does not by itself mean tax is owed. California's treatment is a separate question, and both belong with the estate's tax preparer rather than with us.
Official sources
- Office of the Federal Register (opens in a new window)
Retrieved Jul 24, 2026
Important disclosure
This page provides general information, not a qualification or legal determination. Screening and services cannot guarantee approval, forgiveness, discharge, settlement, timing, or any particular result. The responsible agency, court, creditor, or other decision-maker applies the controlling requirements.
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