What happens when there is no will and debt?

Answer 1

The general answer is that the individual or group of individuals that step forward to make a claim on the estate will be accountable for the debt. The lack of a will makes assignments of the assets (and the debt) more difficult, but not impossible. The court has been down this road before. And the court is obliged to protect the individual(s) who have a claim on the estate because the deceased fairly owed them a debt. A simple and straightforward example would be a house in the name of the deceased that had not been paid off. A car that had been purchased with a loan and had not been paid off would be another one. If a person passes on, the debts don't just disappear if assets are left behind. That's a no brainer. The individual(s) who claim and are ended up being awarded the assets of one who is now gone get the debts, too. The laws governing the redistribution of the assets of one deceased vary from one jurisdiction to another, but are fundamentally the same. Do not construe any of this as legal advice. Two final things. First, a will is a simple and inexpensive extension of one's wishes into a time beyond his own life. Anyone who has any appreciable assets should make one out. Lastly, do not sell a specialist's abilities short. Consult a legal professional in any matters of consequence. There are many legal professionals, and they frequently provide counsel free or at little cost, at least upon an initial visit. If I cut my finger, I wash it and apply a band aid. If I break my leg, I go to the doctor (or emergency room physician) for assistance. If none of the family members, friends or acquaintances come forward on the death of the deceased, and files for administration to the estate of the deceased, this side of matter ends. The person who the debt is owed to can file for letters of administration before a court of law. He can realize the assets of the deceased and take what the debt owed to him is. The remaining assets remain with the custody of the court till any legal heir or other claimant claims, through the court. The unclaimed residue of estate will go to the state, means the government coffers. ===Clarification/Simplification=== When a person dies, all assets owned by them in their individual name become part of their estate. The estate is responsible for any debts owed by the decedent. This is true whether the decedent died with or without a will. This is also true whether or not a probate proceeding is filed. In order for title to real property to pass to the heirs the estate must be probated. Bank accounts or investment accounts cannot be accessed except by a court appointed estate representative. As part of the probate process notice of the death is published providing creditors with the opportunity to come forward and file a claim. If all outstanding debts are not paid and the assets are distributed to heirs they will be received subject to the debts of the decedent and the creditors can pursue the recipient.