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nonnie1965 · Jan 13, 2007, 10:53 PM

I am his only child. I have been devastated because it was unexpected. I flew home and drove back with some of my fathers things. He had some debts. He owes $40,000 home equity loan on the house and he has about 21,000 total in credit card debt. Not enough money to cover the credit card debt. I was raised on my fathers property and I don't want to sell so I am keeping up with payments on the property. And with the funds I am getting will pay the loan on the home. However I don't have the funds for the credit card debt. What if I don't pay them what can happen. I have had people tell me they are un secured debt one card is $13, 000 and the other one is $5,000 and the other is $3,000. Not only is there this problem but my dad was in Oregon when he passed away he was on vacation and staying at my cousins house who by the way is a bad apple. She stole lots of things after my dads death. She has his gun which I reported and he ordered $3,000 worth if not more items from cabelous and had sent to her house I do not have these items and she denies having them. So The thought of having to pay debts on cards for items you don't have really stinks. Anyway what are or what can happen regarding credit cards if I did not get them paid. Please help
Thank you,

s2tp · Jan 13, 2007, 11:10 PM

Firstly, I am sorry for your loss. I lost my father young, so I can't say I know how you feel, but I do know the pain of loss, and I wish you the best.

As for the credit cards; As far as I know and from what I have heard others say here on AMHD, the deceased debt will not be carried over onto you. I believe you can just call them and tell them he is deceased, write 'return to sender -deceased' on the envelopes and hopefully eventually they will go away. I am not sure if this it true since the home is still in his name, and they may try to get the money from that...

I wish I could be of more help. I suggest waiting around here and some of the actual finance experts will get to your question when they get online... You can also do an AMHD search and you will find other posts that are similar to your question.

Best Wishes

s2tp · Jan 13, 2007, 11:25 PM

Out of my own curiosity, I looked up 'death debt' on the AMHD search and got several posts. The first one I read: https://www.askmehelpdesk.com/real-e...ght=death+debt

Looks like you are responsible for getting those bills paid...

chippers · Jan 13, 2007, 11:44 PM

First of all, I'm sorry for your loss. Losing a parent is hard enough without the money problems. I'd consult an attorney if I were you. As he owned the house the credit card people can put a lean it and possibly have a sheriff sale to cover the debt. Losing the house would be like losing dad all over again. As for the other debt with the bad apple, the attorney can help deal with the company.
This is a lot to carry on your shoulders, first by losing your father then the mountain of debt he had. You've got a heavy burden to handle. You'll need someone whose there for you as well. At last an attorney can protect you. Make sure you have someone there for emotional support as well. Good luck and God Bless.

CaptainForest · Jan 14, 2007, 01:31 AM

Nonnie1965,

I am sorry about the loss of your father.

I recently experienced a loss for myself, and it was very hard.

As for his estate.

You say you are keeping up with the bills because you want to keep the house.

You also make it sound like the debts are more than the assets.

If that is the case, an idea is…

Sell the home and pay off as much as much of the debts as you can.

Since the debts are more, the rest will go away.

Sell the house to YOU. Just pay FMV for it.

ordinaryguy · Jan 14, 2007, 06:40 AM

I am so sorry you're having to deal with money problems and bad apple family members in addition to your grief.

You need an attorney who is experienced in settling estates. You should not automatically start paying his debts with your own money before his estate is settled. All his creditors, including the credit card companies have a valid claim on his assets, but they will have to wait until his estate is formally settled to collect. If you are the only heir, then you will inherit the real estate, but you will also have to assume responsibility for the debt. If you don't want to sell and you don't have the ability to pay it off, then you will have to refinance it in your name and continue to make payments. I'm not sure about the credit card debt, but I suspect the same is true with that. If his house is his only asset of any consequence, and if you don't want to sell it to pay off his debts, then you will probably have to assume responsibility for them. But don't take my word for it, get a competent attorney and follow his advice.

Fr_Chuck · Jan 14, 2007, 10:02 AM

I am sorry about your loss.

If he owns property and cars and furniture, these are all part of his estate.
Money from life insurance is not part of the estate.

To settle an estate, you have to sell off property and pay the bills, You pay the secure debts first then the unsecured, if after all the money from this sale is gone and there are debts left, you merely notify them.

But if you want to keep the house, you will have to "buy" if from the estate if there are more debts than the proper is worth,

So the credit card company will have to be paid, either by you, or by sellingthe property, since you can't keep the property and not pay them