Does Life Insurance Go To Student Loans? 
If you are the beneficiary of a life insurance policy , and you have student loans to pay off , you can choose to pay your student loans with that money . Or you can choose to spend the life insurance proceeds on other things . If you are behind on your loans and there is a judgment against you , the lender could come after your life insurance money . If there is no judgement , they can not take your life insurance money . There are legalities and exceptions to everything , and you should contact a lawyer if you have received life insurance money while having student loans for which you are behind in payment . 