0
When does interest stop accumulating for a debt owed to an estate by an heir?
Wiki User
∙ 9y ago
Interest on a debt is not going to stop accumulating for a debt owed to an estate by an heir until the debt is paid off. Perhaps selling the estate will help the heir pay the debt off and stop the interest accumulation.
Wiki User
∙ 9y ago
Add your answer:
Earn +20 pts
If one heir owes a small debt to an estate should the debt be paid back first before the estate is divided or should the debt be deducted from the estate total then divided between the two heirs?
You can see the answer to this if you imagine an amount of debt to be the whole estate. That is one heir is holding all the assets. If the debt wasn't repaid first, before division, the other heir would get nothing at all. The estate is the total after all debts have been repaid. So you add the value of the debt to the residual estate. Give half of the result to the one with no debts. This has the same effect as the debtor repaying a sum equal to half his debt to the non-debtor, and then dividing the existing estate by 2.
If one heir owes a small debt to an estate should the debt be paid before the estate is divided or should the debt be deducted from that beneficiary's share?
You should ask the attorney who is handling the estate. If it is a small estate there may not be any tax consequences either way.
Estate insolvent cannot pay credit card debt affect on heir's credit history or tier score?
It does not. The debt belongs to the deceased. If the estate cannot settle the account, the credit card company is not going to get paid.
If a house is not paid off and is left to an heir what are their responsibilities?
The mortgage is a debt against the estate which must be satisfied before the heir receives anything. If there is enough cash in the estate, the mortgage can be paid off and the heir will get the house. If not, the house will need to be sold, and the proceeds used to pay off the mortgage. If there are not enough assets in the estate to pay off the mortgage, there won't be anything left for the heir. It is the responsibility of the executor of the estate to see to all these transactions and to deliver the proceeds--what's left after settling the debts--to the heir.
If an heir of an estate dies who is entitled to that portion of the money?
If an heir of an estate dies who entitled to that portion of the money?
Who has to pay the bills of the deceased?
The "estate" or the heir. But the heir's responsibility is limited to the amount of money in the estate. In other words, the heir does not become responsible for all the debts personally as if they were his own. The estate, but not the heir. The heir has no liability for the debt - the debts might only go to reduce the amount the heir might get.
Can heir sell family proerty without the rest of the family?
An heir may sell property by deed if the estate has been duly probated and the heir acquired all the interest in the property under the will. The estate must be probated in order for title to the real estate to pass legally to the heirs. If the estate has not been probated the deed would be null. If the estate was probated and the heir did not inherit a 100% interest then her/his deed would only convey the proportionate interest they own.
If one heir owes a small debt to an estate should the debt be paid back first before the estate is divided or should the debt be deducted from the estate total then divided between the two heirs?
You can see the answer to this if you imagine an amount of debt to be the whole estate. That is one heir is holding all the assets. If the debt wasn't repaid first, before division, the other heir would get nothing at all. The estate is the total after all debts have been repaid. So you add the value of the debt to the residual estate. Give half of the result to the one with no debts. This has the same effect as the debtor repaying a sum equal to half his debt to the non-debtor, and then dividing the existing estate by 2.
Can one heir challenge an executor?
Yes. Anyone with an interest in a decedent's estate can do so. An heir would be such an animal.
If one heir owes a small debt to an estate should the debt be paid before the estate is divided or should the debt be deducted from that beneficiary's share?
You should ask the attorney who is handling the estate. If it is a small estate there may not be any tax consequences either way.
Who can file?
Any one with an interest in the estate. That can be an heir, a named beneficiary or a debtor.
Who can file for probate?
Any one with an interest in the estate. That can be an heir, a named beneficiary or a debtor.
Who can file probation?
Any one with an interest in the estate. That can be an heir, a named beneficiary or a debtor.
Who can claim interest in a deceased estate?
Any natural heir Anyone named in a valid will Anyone owed money by the estate.
Who can open an estate?
Anyone with a vested interest in the estate can petition the court to open the estate. That would be anyone named in a will, anyone that is owed money by the estate or any natural heir.
Can an heir take out a loan against an estate in probate if the other heirs object?
An heir to an estate that is in probate can receive an "advance" against his or her beneficial interest in the estate. Because the "advance" only affects that heir's share, it can be done without the consent of the other heirs. Most of these transactions are structured as purchase agreements, not interest bearing loans. The advances are also "non-recourse" meaning that if the heir does not inherit enough to pay off the advance, the heir has no legal responsibility to repay it.
Estate insolvent cannot pay credit card debt affect on heir's credit history or tier score?
It does not. The debt belongs to the deceased. If the estate cannot settle the account, the credit card company is not going to get paid.
