Did the lender actually pull his credit? Does his credit report actually show unpaid student loans? If you don't know, then have him pull his credit and find out. If he's had a job for 4 years and caught up on the payments or made an arrangement with the lender, it shouldn't affect the credit anymore. If he's still behind in some way, then he needs to get caught up right away.
Your monthly payments on a rent to own are probably not triple, but are likely to be close to double what you'd pay if you purchased the house. Also beware that if you don't become eligible for financing by the time the rent-to-own option expires, you've lost all the extra money you've paid for that option.... more