Debtors MAY have a legitimate claim against the deceased persons. However they must file their claim against the ESTATE(s) of the deceased persons, not against any particular individual. Unless someone who is still alive co-signed a note or a loan, the creditors have no other claim on anyone, or anything, except the estate that the deceased left behind.
They have the right to make a claim against the estate. Like other debtors, the executor has to settle their claims. If there are not enough assets, some of the debtors will not receive all of their money.
I think you mean "creditors," those who are owed money. Debtors are the ones who owe the money. In Texas, the proceeds from life insurance policies are exempt if a dependent is named as the beneficiary. Otherwise, the funds are not exempt. Of course, the creditor must know about the policy to collect from it.
The estate is responsible for the debts of the deceased. If there are no assets in the estate, the debtors are not going to be able to collect. This can be challenging. If the deceased owned a house, the house would be sold to pay the debts. Cars, bonds, stocksand other personal property could also be sold to come up with the money.
yes
File a writ of execution with the court, then set up a debtors examination.
There are letters that attorneys use to notify creditors of a debtors bankruptcy. This letter states that the individuals have filed bankruptcy and the creditors are to cease all contact and attempts to collect their debt.
If the deceased owed money, debtors can place a claim against the estate. The executor has a duty to notify all debtors of the death of the individual. The assets of the estate must be applied to the debts before anyone can inherit anything.
No, you cannot open probate solely to collect a debt from an estate. Probate is the legal process by which a deceased person's assets are distributed to beneficiaries and debts are paid. However, if you are owed a debt by the deceased, you can file a claim against their estate during the probate process to receive payment.
In Texas, they take you to court on a judgment in order to collect. Statutes of limitations on debt collection in Texas is four years. Debtors cannot garnish any wages.
It depends on the country you are in, but in the UK, the first claim on the estate is the revenue (ie tax), then debtors - which would include the credit card debt. That should be paid out of the estate of the deceased.
Their estate is responsible for the debt. First, if the deceased has a home, property, condo, cars, etc., the estate will sell it off and pay the debtors. If there are no assets, the debtors will lose their money. If there is no will, the estate will be distributed according to the intestacy laws.
No one is responsible. If the estate has run out of assets, the debtors are out of luck.