My Mother has no other assets except her house, which she has put into a trust to be passed down to her four children. She has been diagnosed with terminal brian cancer, and can no longer work, so the kids take care of her. She has an outstanding credit bill that is stacking up quickly with the horrible APR and balance that I noticed all too late, and as one of her children I wonder, should I even attempt to try and pay this bill for her (it wouldn't really be possible but I could try), or should I let it just continue to accumulate with the expectation that it will be written off when she is deceased. Will the credit card company have rights to the house even though it is passed down in the trust?

grammadidi

I am so sorry about your mother's illness and this situation. I'm sure it is a difficult time.

Contact the creditor immediately. Explain that your mother is terminally ill with brain cancer and has no means to pay the debt. Tell them you have just become aware of the debt and ask them if they will either forgive the debt or stop charging interest. You may want to consult a lawyer for help with the matter. Most will give you a free 1/2 hour consultation.

Her debts all will have to be paid before any monies are paid out to her heirs. She may have an 'insurance' policy on this particular card that covers her if she is unemployed or ill, or that will pay off the debt if she dies. Check it out.

Hope this helps a bit.

Didi

RichardBondMan

Sorry to hear about your mother and her condition and you should be commended for attempting to look after her affairs. First, your profile doesnt say where you live, the US, Canada, UK ? So I will assume you and your mother are in the US if that's OK. It's very uncommon for one to create a "trust" as you say, without first creating a regular Last Will and Testament. Actually, it's also very common for one to pass on "intestate" or without a written will. I think you are trying to sayi either that she has a will or she doenst and therefore, I guess I can assume that there is no actual written trust ? Is this correct or can you explain in more detail ? Anyway, you state that your mother is no longer able to work. This raises other questions such as "does she have disability insurance either individual or group disability insurance through work that she could file for? If so, that would assist in paying the credit card debt and her other living expenses. You didnt say if your mother is also "mentally" incapacited but if she isnt, you may want to have her visit an attorney to draw up a Last Will and also perhaps a Health Care Directive as well as a Power of Attorney. The Will would specify how her assets will be distributed upon her death as well as who will be in charge of gathering her assests and dispersing them according to Will. The Health Care Directivie will specify what medical procedures, if any, medical professionals can or cant take to prolong her life. A power of attorney would specify who can take care of her personal business legally while she is unable to take care of her personal business. Its a great idea for someone or better yet, your mother, to contact them, explain her condition and financial status, attempt to lower the interest rate, ask if the account is perhaps covered by any insurance she may have purchased through the bank, and/or make payment and other arrangements. I would not sign any agreement that specifies you are obligating yourself. It's her debt and once she passes, it becomes a debt of her estate whether she has or doesnt have a will. If there are no assets, the cc company will simply write the debt off as uncollectilbe. You are not responsible. It would be great if the home could pass outside of her estate and directly to surving relatives. Since I am assuming much, it's not possible to give you a simple answer, so an attorney is best to advise you and her. Good luck to you with finding the right answers for her situation.