Don’t Make These Mistakes Marrying Someone With Student Loan Debt!

Mistakes Marrying Someone With Student Loan DebtStudent loan debt is something of an elephant in the room for couples nowadays, because it’s not fun or easy admitting just how big the burden is and discussing finances sometimes causes anxiety for both people involved. If you have a small student loan to pay back or you’ve paid off your schooling altogether, it can be tricky navigating issues like marriage when your partner has a significantly higher student loan debt burden.

However, many personal finance experts agree that debt shouldn’t be a make or break issue for a loving relationship.

Mistakes to Avoid with Student Loans and Marriage

While some couples decide to avoid marriage altogether, there are many ways to make student loans and marriage work. And, student loans and marriage can work as long as you avoid the following mistakes:

1) Not Disclosing Finances to Each Other

Lack of communication when it comes to finances can be disastrous for a relationship. It’s not the loans that become the issue; it’s the lack of transparency about the amount and the couple’s approach to paying them off in a timely manner.

To avoid miscommunication or arguing about money before and after marriage, it’s important to lay everything out on the table and organize your finances before the wedding. This may take a few hours or a few weeks; it doesn’t matter how long it takes you as long as you remain open and honest with each other and tackle every detail.

A common problem for the partner with the higher student loan debt load is not knowing exactly how much they have, how much they’ll have to pay, and how they’ll pay it off. The uncertainty can cause stress and resentment for the partner with little to no student loan debt, unless you both have a solid plan for paying it off. Consider these questions during the organizational phase of your engagement:

  • How much money is owed altogether (both partners)?
  • How will you pay this money off? Are there income-based repayment plans available to you?
  • Does one partner make more money and is willing and able to help pay down more of the principal on the student loans?
  • What are your monthly living expenses together? How much can you both afford to put towards student loan payments each month?
  • What resources are available if you think you might default on a student loan? If default is inevitable, how can you protect the person in the relationship who has less debt?

2) Having a Lavish Wedding

Did you know the average cost of a wedding is over $31,000? That’s a crazy amount, especially when you do a cost-benefit analysis and realize how much of your student loans you could have paid off with that money. Obviously weddings should be special occasions that will create life-long memories, but you don’t need an expensive wedding to attain those goals.

Read more