Hi all. As my title say, my relative wants to pay of my student loans, which total about $40K. Essentially he is wanting to "loan" me the money at 0% interest and I'll pay him monthly. What we are hoping is to find a way to make this happen that:
1.) Won't show the $40K as income for me, thus killing me next tax season. We can't do this in installments, it has to be done all at once, so the "gifting" option will not work as you can only gift $15K a year.
2.) Won't show up on my credit as a "loan" so that my debt to income ratio will be better, and I can buy a house.
Preferably, this would be something he could keep sort of secretive without a lot of paperwork involved, as there are some other family members that may or may not approve of him helping me. Thank you for your assistance, guys. I can answer any additional questions you may have.
Edit: changed $25k to 15k, and a "her" to a "him" Both were typos. Typed this out on my break and my brain is quite frazzled trying to figure this mess out.
Edit2: just want to clarify that I am not trying to do anything illegal here, or commit fraud. I'm just ignorant to tax/lending stuff and I'm trying to figure out the best way to navigate this situation.
Submitted February 26, 2020 at 03:43PM by liquid_languor https://ift.tt/37ZL6AY
