Or is the family responsible to pay it?
2007-06-08 15:12:51 · 10 answers · asked by Anonymous in Business & Finance ➔ Personal Finance
The only people responsible for debts are those that voluntarily agreed to them.
Even a spouse is not personally liable for debts they did not sign up for.
However, if we're talking "secured debt" like the home mortgage, the heirs do not take the asset free and clear, the debt has to be satisfied before they can take anything.
If a person died owing ten thousand on credit cards, and owned absolutely nothing but a gold watch, the gold watch would be sold and applied to the debt, and the balance would disappear.
2007-06-08 15:40:12 · answer #1 · answered by open4one 7 · 1⤊ 0⤋
If the dead person left an estate, the debt would have to be paid out of it.
If there are debts that in the names of both the deceased and another family member, even if there is no estate, the other family member is on the hook.
Otherwise, the debt doesn't pass on to the other family members.
2007-06-08 15:21:54 · answer #2 · answered by astatine 5 · 2⤊ 0⤋
The estate pays all debts, if the estate does not have enough money the debt disappears unless there was a co signer who becomes responsible
Companies may try to tell family members they are responsible but they are wrong
Been there done that
2015-09-15 08:34:54 · answer #3 · answered by ? 7 · 0⤊ 0⤋
But what if the person has no one, the are single with no family members? Then what happens to the debt?? I know it's not my question, but I was wondering?
2007-06-08 15:21:54 · answer #4 · answered by That 70's girl 4 · 0⤊ 0⤋
Generally companies TRY to come after the immediate family to pay off the debt.
2007-06-08 15:20:43 · answer #5 · answered by If the shoe fits... 3 · 0⤊ 1⤋
It depends on what kind of debt it is and how the person dies. Like if a suicide is involved then no. If a car wreck then probably . Check with you local city government.
Go here and then your state.
http://www.usa.gov/
2007-06-08 15:23:47 · answer #6 · answered by Jimmie 4 · 0⤊ 0⤋
The debt goes away unless there is an estate.
2007-06-08 18:03:17 · answer #7 · answered by MississippiSam 2 · 0⤊ 0⤋
The debt does not go away, it is up to the heir who inherits the money and or property to despense with the debt.
2007-06-08 15:16:16 · answer #8 · answered by trey98607 7 · 0⤊ 1⤋
what!? debt is handed down! psh screw that. The gov't these days.
i always wondered that.
my parents better lose their debt before the leave this ground!
2007-06-08 15:24:30 · answer #9 · answered by Ireney Weeney Beany Poo 2 · 0⤊ 0⤋
It is paid from the persons estate, or anyone else on the accounts.
2007-06-08 15:15:31 · answer #10 · answered by PersonalFreedom 4 · 1⤊ 0⤋