Pops ran up a credit card. The card was for his business and he signed as guarantor. Attorneys are collecting. Pops is in hospice care and not long for this world. Can these collectors come after Mom? (They are married)
Also, Pops is now off the deed to the house and Mom is in joint tenancy with another person. If they can come after her, can they lien the house?
2006-08-16 12:20:17 · 7 answers · asked by Anonymous in Business & Finance ➔ Personal Finance
If the credit card was business issued. They could only put a lien on his business. If that gone. They can not go after your personal items. Since his credit is ruined. You need to get a power of attorney and file either a chapter 7 or chapter 11 bankruptcy on his business. Chapter 7 if business is gone otherwise chapter 11 if the business is still going. Have you Mom talk to a bankruptcy attorney. It is a lot easier to file bankruptcy for a business than for a personal bankruptcy. They should not be able to put a lien on the house.
2006-08-19 13:12:25 · answer #1 · answered by webworm90 4 · 0⤊ 0⤋
They can sue his estate. He was smart to get off the deed! As it's no longer part of his estate, it can't be touched by any of his creditors.
If they're in a community property state, check with an attorney but removing his name from the deed may still protect your Mom from losing it.
There are some tax rules relative to giving property away in anticipation of death that could affect the taxable value of the estate but if the net value is less than $2 million there won't be any taxes due so that's a non-issue.
Again, check with an attorney but it looks like your Dad took good care of your Mom on this one.
2006-08-16 12:44:56 · answer #2 · answered by Bostonian In MO 7 · 1⤊ 0⤋
In Michigan they will try to sue the spouse, legally they won't collect. They do it anyway trying to scare the spouse into paying. If they do sue, she must answer in court. If she does not, a judgement will be issued against her.
As long as she (her name) is not on any ownership of her husbands business she is not liable for business debts. If his name is off the title to the house, depending on when this occured, they should not be able to go after it. Good luck.
2006-08-16 12:28:36 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Hard to say...
Go to:
http://clarkhoward.com/inside
and click on the "ask_team_clark" option under the "Clark's Advice" topic (on the left side of the page). Fill out the little form there, and somebody will call you back and you can speak with a consumer rights person.
Good luck...
2006-08-16 12:29:48 · answer #4 · answered by Anonymous · 0⤊ 0⤋
Yes, they can sue his estate which belongs to your mother.
2006-08-16 12:25:26 · answer #5 · answered by Jesse G 2 · 0⤊ 0⤋
yes
2006-08-16 12:26:09 · answer #6 · answered by ssgtusmc3013 6 · 0⤊ 0⤋
Absolutely--"whats yours is mine and whats mine is yours"
2006-08-16 12:38:19 · answer #7 · answered by gs_analyst 3 · 0⤊ 1⤋