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What happens when someone dies owing credit card balances but has no assets?
Wiki User
∙ 19y ago
Pursuant to state laws all assets, debts and will(if any) are filed in Probate Court. Creditors are given a specified time to file claims against the estate. The court then rules on which assets are exempted from creditor action and which can be used to repay debt. If there are no assets the debts become null and void and cannot be collected. Surviving family members are not responsible for the debt, unless they are a joint account holder. Another exception would be a spouse and the couple having resided in a community property state.
Wiki User
∙ 19y ago
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What balances have debit or credit balances?
Assets, Expenses and Losses have native debit balances. Liabilities, Stockholders' equity, Revenues, and Gains have native credit balances.
What balances have debit or credit balance?
Assets, Expenses and Losses have native debit balances. Liabilities, Stockholders' equity, Revenues, and Gains have native credit balances.
What happens if i do not pay off my credit cards and personal loans and avoid them for a long time?
AnswerThe past due balances will be reported to the credit agency which will ruin your credit. Bad marks on your credit can stay there for up to 7 years. Additionally, credit card and loan companies can file a lawsuit against you to collect on the balances and can then garnish your wages or take your assets.
What happens when equipment is purchased on credit?
assets and liabilities increase
What is the normal balance of an account in the accounts payable subsidiary ledger?
Accounts receivables has debit balance as normal balance of account and shown in current assets in balance sheet.
How does Credit affects assets?
Credit has no impact on one's assets.
What is the relationship between balance sheet and trial balance?
A balance sheet or statement of financial position is a summary of the financial balances of a sole proprietorship, a business partnership or a company. Trial balance lists the debit, credit accounts for a given ledger for a month. Trial balance is created in two columns one with all the debit balances and the other with all the credit balances. If the total of the debit column does not equal the total of the credit column then there is an error in the ledger accounts. The assets, expenses will be recorded under the debit balances. Liabilities, equity and revenue will be recorded under the credit balances.
Why may a control account carries both debit and credit balances?
A control account summarizes a set of subsidiary accounts. For example, Accounts receivable may have a control account, representing total Accounts receivable, and also may have a set of subsidiary accounts, representing the amount of Accounts receivable owed by each customer/debtor. The total of all subsidiary accounts must equal the balance of the control account. Control accounts will have debit or credit balances depending on the nature of those accounts. Control accounts for assets, such as Accounts receivable or Fixed assets, will have native debit balances. Control accounts for liabilities, such as Accounts payable, will have native credit balances.
Which accounts normally have credit balances?
All liabilities as well as sales account has credit balance as normal accounting balances.
How can someone improve their credit score?
Yes, by maitaining low balances, paying you bills on time and making sure you have long established credit cards. please be aware your score changes everytime something happens on your file ie) inquiry, merchant updating balance/payment history, etc.
How often do credit card balances get reported to your credit report?
Monthly
What report lists accounts and their balances in which the total debit balances should equal the total credit balances?
Trial Balance
