Hi! I am currently looking into strategic default on my private student loans (about $60k left, paying since 2015 and have pretty much paid what I took out however haven’t made a dent with interest). I also have federal loans but will leave those current on IBR. I live in California and my co-signer passed away two years ago. I’m currently looking into defaulting as it feels like I am trapped in life making these payments — I also have $30k in CC debt as I have lived off credit cards for the last few years as all my money goes to these loans.

I am looking for some advice on this, I am assuming I don’t have to worry about my co-signer as he is passed but please let me know if I am missing anything there (his estate went to his children and I don’t want to get them involved). My plan is to default, transfer money to my fiancé’s account to stock pile a settlement amount while attempting to wait out the SOL— sounds like a lawyer doesn’t need to be hired/involved until I receive serving papers. I am aware that my credit is going to tank and I have no assets, savings, retirement other than a $6k car - my fiancé has a 800 credit score and no debt and it sounds like even if we get married in the next few years they can’t come after him. He would like to buy a house eventually but it looks like he could do this in his name, he wouldn’t be able to include my income but also my dti is so bad it screws him either way.

Sounds like the worst thing that can happen is I get sued, they don’t accept a settlement amount and stipend 25% of my income which at most would be $80k salary by then (mind you I’ve been making $30-40k the last 4 years hence the CC debt).

Anything I am missing or should look out for? Also any advice on tackling my CC debt at the same time, not sure if I should try to settle that or if taking a personal consolidation loan out is better (which id have to do before the default). Just want to make sure I have my facts straight before taking action.

Really appreciate all the insight on here!!