0
They place their claims with the estate. The estate is responsible for settling all debts, or as many as possible. If the estate does not have enough to pay all the bills, they will distribute it as evenly as possible.
Wiki User
∙ 13y ago
Add your answer:
Earn +20 pts
What happens with your debt if you die and have no relatives?
Your creditors are entitled to be paid from any assets you have at the time of your death. Generally, if you have no assets they are out of luck.
How do stocks and bonds differ?
Bonds are a form of debt when a company sells them to creditors
What was the name for a society where debtors were bound to their creditors in servitude?
That system was called debt bondage or debt servitude, where debtors were forced to work for their creditors until the debt was paid off.
Is the surviving spouse obligated to pay medical debt after the death in Texas?
Yes!
How long can creditors come after you for medical debt?
If the debt is contractually valid, and you are not disputing the debt, it will be based on the initial contract, and the Statuate of Limitations (SOL). Each state may vary on the SOL. In addition, some Medical Providers (original creditor:e.g., hospital, physician, etc) and individual States, have specific guidelines on the collection of medical debt. Reporting on credit history may be for 7 years, again based on the Medical Provider, and the state's guidelines.
What do firms owe their creditors?
Firms will owe their creditors a debt and usually some type of interest.
Who is responsible for credit card debt when there is no estate?
Generally a person's estate is responsible for the decedent's debts. If there is no estate the creditors are out of luck. They should be notified of the death.
Is spouse responsible for medical debt after spouse's death if bills were incurred prior to marriage?
no.
Why are debt counselors able to talk with your creditors and get your monthly payments reduced and you can't?
It is the debt counselor's job to notify the creditors that if you choose to sign up for debt management plans and that you are very serious about getting out of debt. They are professionals. They know what compromises creditors will agree to and they know that creditors are likely to accept a partial payment rather than no payment or suing a debtor who has no money. Credit counselors also have contacts and know how to access the right people.
Will the homestead exemption protect the home from creditors after death?
No, the bank will force the sale of the home in order to recover the debt. If this is only a portion of the debt, the remains of the proceeds will go to the next of kin. This is why it is always a good idea to have life insurance.
How do debt relief lawyers eliminate your debt?
They often don't. Bankruptcy is the only certain way to "eliminate" your debt, and the only way all creditors are treated the same. Anyone else who claims to be able to eliminate your debt completely is lying. They make what deals they can with the creditors that are willing to negotiate. If you make monthly payments to this debt eliminator, make sure the payments are made to the creditors immediately, or the creditors will sue you and bring the collection to an end. Always check them out with the Better Business Bureau and your state Attorney General or consumer protection office.
Can creditors keep selling your debt?
Until it is paid off, yes.
