To put it bluntly if my wife and I pop our clogs,which we dont plan to do in the near future.Do my son and daughter have to pay off any unpaid debts we may have had.
2006-11-01 07:53:24 · 18 answers · asked by Francis7 4 in Business & Finance ➔ Credit
Sorry forgot does the same apply to my wife if I croak it because she was not responsible for my debt.
2006-11-01 07:59:44 · update #1
it used to be that a wife was not responsible for her late husbands debts.i am sure it still the case so i don't think your children will responsible either.
2006-11-01 22:44:26 · answer #1 · answered by Anonymous · 0⤊ 0⤋
What happens is some one will be responsible for you Estate so a solicitor will be in voled. All your assets and money will be grouped together and your siblings will have to pay any outstanding debts with your money left behind after that the rest will be shared according to your will you should have made this will cut down on grief. If how ever your money etc is not enough to cover the debts including the house the rest normally gets wiped off and your children need not dig into there own pockets.
2006-11-01 16:10:16 · answer #2 · answered by Anonymous · 0⤊ 0⤋
No, your debts don't die with you. If you die, and have a will, creditors can go after your assets before your heirs ever recieve anything. But the creditors have to do it in a timely fashion or they lose.
Example: You go to the bank and get a loan for $25,000 for a new vehicle. Then you pass on 6 months later. Do you think the bank is just going to forget that they gave you that money for a vehicle. No they will go after the money, or repo the vehicle. If you have an attorney, discuss what happens to your debt when you pass on. They can tell you exactly what happens as they deal with it most often.
The best way to put it....If there is something to be inherited, and there is also debts owed, creditors have first dibs on the inheritance, not the kids.
2006-11-01 16:09:41 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Yes, they will have to pay, plus estate taxes, death taxes, and the list goes on and on. Do them a favor and see a lawyer about a living trust and then buy a life insurance policy with your Living Trust as the beneficiary which will direct how the money is to be distributed. A Trust is more efficient than a Last Will and Testament.
2006-11-01 16:03:08 · answer #4 · answered by ? 2 · 1⤊ 0⤋
Your combined estate could be in jeapordy if outstanding debts are present after you die, those could be affected by companies placing liens on all property in your name. If you wish to place property/titles things of that nature into your children's name now it could save allot of trouble afterwards for your children.
Such morbid but necessary thoughts, but I am glad you are thinking ahead...wishing you and yours a long, happy life.
2006-11-01 16:03:31 · answer #5 · answered by Pale 3 · 1⤊ 0⤋
In usual circumstances your debts die with you but you may need to consider that this will cause upset at a time when your kids and other family members least need it.
2006-11-01 15:59:25 · answer #6 · answered by Rizzo 2 · 0⤊ 0⤋
The powers that be will still skin you for every penny they can get their grubby paws on even when your dead, so make sure you don't leave an estate give the kids cash as gifts etc.. new Bmw etc lol
2006-11-01 16:57:46 · answer #7 · answered by richiesown 4 · 0⤊ 0⤋
I think you should look into bankruptcy and credit counseling so no body will be stuck with your debts and you wont have to have a miserable life until you die! Good luck!
2006-11-01 16:03:38 · answer #8 · answered by Kari 3 · 1⤊ 0⤋
I think it comes out of your estate...
Wouldn't that be good though? Rack up a huge debt and let the kids sort it out!!! Hahahaha *runs to buy expensive car and an addiction-sized box of cocaine*
2006-11-01 15:56:40 · answer #9 · answered by Anonymous · 0⤊ 1⤋
your family is responsible for your debts thats why it is wise to have enough life insurance to over any debts that you may have...
2006-11-01 16:01:33 · answer #10 · answered by tangela 3 · 1⤊ 0⤋