Aunt refuses to co-sign on her niece’s student loans after her parents were denied for their over 100K debt and awful credit score: ‘I don't think that her education costs are our responsibility.’

Author image for María Cetra
María Cetra • Writer
Aug 11, 2026 6:00 PM EDT

Money issues between family members sound like a horrible idea.

Why would someone's financial problems be another person's responsibility? The idea of a student loan is to manage the burden that it would cause to the family by delaying the payment of education till the student starts working a full-time job and can actually afford it. Of course, it would be better not to have to depend on something like this. But the truth is that as tuition has become more and more expensive, most students nowadays need them. They are the thing that defines whether or not they attend university and receive the education they want. They have become so valuable that the idea of not receiving that support terrifies families and causes severe anxiety.

In the story below, we encounter a student whose parents not only cannot afford tuition at all, but they are also unable to get approved as cosigners for student loans due to their poor credit score and their high debt. This causes them to resort to their families for some support. They aren't asking them for any financial help, such as direct money or deposits. But they are trying to convince a family member to be the cosigner, as they are unfit. In the agreement of someone lies the educational future of their daughter.

When this aunt gets asked to do this, she starts to feel pressure because the reality of all this is that, even though they aren't asking her to give them money directly, they are expecting her to make a financial commitment that, if it goes wrong, she would have to pay for. Is an immense risk, and she isn't sure she wants to commit to something like this. The position she is in right now is uncomfortable, as she said no, and now her family is mad at her. But what would you do? It's an incredible risk that I wouldn't dare to take part in at all. She would have her finances depending on the responsibility of a teenager who was never taught by her parents how to manage her finances. It seems like more of a risk than a way of helping out her niece. 

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  • 01
    My niece is heading to college this fall. Her parents make over $150K together and as a result, she doesn't qualify for federal student aid. Yesterday, they went to the bank to try for private student loans. My niece being 18 needed a co-signer. Her parents applied to do this, but, they have trash credit scores and were denied by the bank. Her parents have always been very wasteful spenders. Her mom is over $100K in student loan debt and has
    via SwissCheese1981
  • 02
    A student taking notes with pen and paper
    via Unseen Studio

    A student taking notes with pen and paper

  • 03
    deferred her student loans multiple times, most recently get to a PhD, which was completed 2 years ago. Good for her, but not good for her credit score. They are always paying bills late and will get shut off notices for utilities. They leave TVs on when no one is home and get upset over $500 electric bills. They have a $40,000 car loan with a super high interest rate. Their house is full of brand name clothing, sports memorabilia, expensive
    via SwissCheese1981
  • 04
    computer equipment and gaming systems. They have KNOWN for years that their daughter wanted college but never made a plan, never saved, never did anything. So, the loan application gets denied, and they come to my partner and I and ask us to co- sign. We make less than half of what they do, but have good credit scores because we keep our bills paid on time and don't put off paying loans. We recently took out a car loan for $20K,
    via SwissCheese1981
  • 05
    which is our only debt. We discussed helping, but decided that if she were to not pay the loans, it would be too much of a financial burden for us to take on. She needs around $30,000 a year for her school of choice. We can't shoulder that burden. We offered to help with books or a dining plan, but said that we can't co- sign the loans. My niece's parents are mad at us. But I don't think that her education costs are our responsibility and that her
    via SwissCheese1981
  • 06
    parents should have planned and been more responsible, especially knowing that their daughter was interested in college. AITA?
    via SwissCheese1981
  • 07
    A man looking at his computer with headphones on. Representation.
    via Wes Hicks

    A man looking at his computer with headphones on. 

    Representation.

  • 08
    Ok-Isopod 1172 Omg. Absolutely not. I would never cosign or be a guarantor for anyone, but with a family like that definitely not NTA
    via Ok-Isopod1172
  • 09
    Lunar-Eclipse0204 NTA - This is on your niece and her parents to figure out truly. She needed to get a job sooner, plan on working thru college. start at community college. there are so many options.
    via Lunar-Eclipse0204
  • 10
    Crazy_adventurer262 Her parents have good jobs but C py credit and still have loans... run! Absolutely not. Her parents are idiots. NTA
    via Crazy_adventurer262
  • 11
    ExtremeCod2999 They need to do the financial aid through the school, they can arrange loans through the Dept of Education. They will be in the students name, with the parents as cosigner. When they say they "didn't qualify for financial aid" they probably meant they didn't get any free money, Pell grants, school aid, but everyone can qualify for educational loans. Don't get drawn into their financial drama.
    via ExtremeCod2999
  • 12
    My wife and I make more money than they do, and even though we didn't need any college loans for our kids, we did the financial aid through the school to qualify for merit scholarships based on smarts and kids activities, and they offered loans.
    via ExtremeCod2999
  • 13
    DCNumberNerd You're probably going to have people say that "no" is a complete sentence, but if you're reaching out to Reddit it's probably difficult for you to say no to your family. So if you need an additional excuse, you can point out that co-signing any loan will change your debt to income ratio and will limit your ability to get other loans, which is yet another reason to decline this unreasonable request. NTA of course.
    via DCNumberNerd
  • 14
    Classic-Sink-4108 I do not care what the circumstances are... NEVER EVER co-sign a loan for anyone, no matter how close you are.
    via Classic-Sink-4108
  • 15
    Holiday-Wall3751 Info: why doesn't your niece qualify for unsubsidized loans? I've never seen a student disqualified from those based on parental income.
    via Holiday-Wall3751
  • 16
    capmanor1755 Let them be mad. Forever. Because that's how long you'd be on the hook for a 120,000 of debt if or when she drops out or stops paying. And the risk of that, given how she was raised around money, is very high. Tell them it's not an option and that you won't be discussing it again then mute their calls/texts.
    via capmanor1755
  • 17
    Own_Concept5629 NTA, not your child. Unfortunately your niece has parents that did not plan ahead and that is def not your problem. Im guessing your niece has not been exposed to good financial examples either. She will likely end up like her parents debt wise.
    via Own_Concept5629

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family drama student loans money college student
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