Estates

The specific reason you want to have an estate is to get things like this taken care of. The estate is responsible for settling the decedent's bills and debts. Without an estate, the creditors will go to the spouse. For your peace of mind and protection, please consult an attorney.

The estate is responsible for the decedant's debts. You should consult a probate attorney and open an estate to settle any debts and distribute assets, even if you don't think there are any assets, you might be surprised.

If the life insurance policy has a named beneficiary creditors are not entitled to any portion nor is the beneficiary legally obligated to pay any of the deceased's debts. Family members are not responsible for the repayment of the debts of the deceased unless they were a joint account holder. The exception in some cases and relating to specific debts, a surviving spouse may be held accountable for the deceased spouse's debts regardless of how the account was held if the couple resided in a community property state at the time of death. Macky ... I don't mean to keep on stepping on your answers, which are most certainly well informed and wise....this is just to add or perhaps clarify. the questioner should understand that When someone dies, they have an estate. It may not have much, if anything in it, but legally, their final affairs must be resolved and accounted for. There is a probate, essentially the making and resolving of the estate, even if verry small/easy/basic required to do this (in most all States). If there is an insurance policy with a specific beneficiary, it will not become part of the estate. It goes to the beneficiary outside of the probate/estate. If there is no named beneficiary, or the beneficiary is the estate (which is the case in a very large number of insurance policys), the money would go there and would be distributed according to the needs of the estate and the laws of the State. Which would mean the debts of the decedent would have to be paid by it.

The debts are paid from the estate.

Any money you inherit prior to a bankruptcy being discharged would have to be revealed to the judge and trustee assigned. These newly acquired assets would be factored into your financial picture and may be captured in whole or part to pay your creditors. It is possible that a sizable inheritance would cause your bankruptcy petition to be "thrown out". Consult with a competent attorney to learn the exact implications in your case and state.

With most insurance policies, you are asked to list both primary and secondary beneficiary(ies). If your primary beneficiary(ies) dies or cannot be located, benefits are paid to your secondary beneficiary(ies) in the same manner. If there are no such beneficiaries, then typically it defaults to a widow or widower; then to a child or children; next to parents; to the executor or administrator of your estate; and finally next of kin as determined under the laws of the State where you lived. Some form of court proceedings will probably take place. It is important that you keep your designated beneficiaries' addresses current. Failure to do so could mean that your beneficiary cannot be located and therefore benefits will not be paid to that person.

A creditor might be able to assert some sort of claim to the portion of the estate going to the heir if the Administrator is served with notice of a judgment. Remember, the Administrator is wholly responsible for every dime spent and is also accountable for their actions regarding paying debts.

The next of kin should notify the lender immediately for instructions. It holds the title to the vehicle. The lender may be willing to make arrangements for an heir to take over the payments or it may take possession if no heir comes forward. It depends on the details of the particular situation.

The proceeds are includable in insured's gross estate if the insured legally possessed and could legally exercise any incidents of ownership at the time of his death. It does not matter that decedent did not have possession of the policy and therefore was unable to exercise his ownership rights at the time of his death (Comm. v. Est. of Noel, 380 U.S. 678 (1965)),

The beneficiary however does NOT pay Income Tax on the proceeds IRC Sec. 101(a)(1).

A foreclosure will typically remain on your credit report for seven years.

The car is an asset in the estate. As such it needs to be appraised and the executor needs to determine what to do with the item to meet the needs of the estate. If the vehicle is the only real asset the individual owned, there are same states that have a 'express probate' form that can get the title transferred without a waiting period. If there is money still owed, the executor should contact the lien holder to work out the disposition.

The final results will depend on the will, the state probate laws and the number of assets in the estate. The executor should take care of it with the assistance of a probate attorney.

If your mother is keeping receipts for the doctor's visits your cousin is going too, and your mother is in the Will as well as being Executrix, then she has to deduct this portion off her share of any monies left to her after the Will is probated. Example: Your mom has to divide the Will up between herself, sisters, etc., that may be in your grandmother's Will. If your mother chose to use this money to help your cousin and has not asked for permission from the Heirs in the Will, she is actually breaking the law unless your mother is the sole Heir. When in Probate this is to be sure all outstanding debts are paid for and no house taxes are due. Once this is done (approx. 1 year) then the monies/properties are acted out in accordance to your grandmother's Will by a lawyer. If you mother cannot account with receipts for the money spent on the cousin, then she could be in big trouble and will have to replace this money back into the Estate.

Property cannot be sold, partitioned, refinanced, etc. without having a clear title. The party involved must contact the attorney in question, to have the matter resolved. There are not grounds nor procedure for an "emergency transfer".

If a person (of legal age?) is named on a bank account they have the right of survivorship to the account and are not included in probate regardless of their status of POA/Excecutor. When you are Power Of Attorney you are responsible for showing every transaction you made. In most cases, if the family agrees, and there are any expenses that the Power Of Attorney can't afford themselves they can take it out of the account, but should produce the sufficient receipts or paperwork in the final Estate. This is a protection that the Power Of Attorney did not take funds out for other uses than looking after the said Person being protected such as: mother/father/brother/sister/grandparents. Any Heir in the Will can demand to see all final bank statements. POA only allows the grantee to use the funds/assets of the grantor on the grantor's behalf. As noted, the POA holder can, in some U.S. states, be reimbursed for reasonable expenses incurred while acting on the grantor's behalf. A POA DOES NOT give the grantee the right to do whatever they so choose with the assets of the grantor regardless of their being placed on bank accounts. A POA becomes null and void upon the death of the grantor, and ALL assets are turned over to the executor/executrix that is named in the will or if the person dies intestate the excutor/executrix appointed by the probate court.

The Trustee of the Trust is responsible for paying the debt out of the trust funds.

No, the beneficiary of a life insurance cannot be changed by the executor unless he's the owner of the policy. The proceeds of a life insurance policy, unless the benefciary of the policy is the estate, are not subject to any conditions of the will. It is outside of probate.

You didn't say if the person who left the house was a parent or a friend. If it's parents you must provide a copy of the death certificate to the mortgage holder. Usually, the mortgage holder would have no problem with you continuing on with the payments. Depending on where you stand in the Will you may have to take a loan out to either pay the full mortgage the mortgage holder is holding, and then make your mortgage payments to your own banking institution. It's best to go straight to the mortgage holder and ask these questions so there are no mistakes made. Good luck Marcy

First the estate of the deceased is responsible for all debts, this is usually accomplished during probate and is taken care of by the county or state. Any remaining assets eventually become the property of the spouse and/or children, as the state or county determines.

7 years + 180 days from date of first delinquency.

I am truly sorry to hear about your father's and your mother's passing. Your father should have a Will. The Will is an "Estate." This should go to Probate which means any outstanding debts your father had such as taxes on property, personal taxes, credit cards, etc., are paid off in full (you are not responsible for them) and what is left in the Estate is divided by the Heirs in the said Will which appears to be you. In Trust or not, there has got to be a Will with instructions from your father. The house was left to you. Unless you took a Credit Card out for your mother in her name then you are not responsible for any balances owing on her credit cards. If she left no Will, then it's null and void! If there are outstanding debts such as Credit Card balances owing, personal taxes or property taxes then it's possible your father had accounts, stocks or bonds as well and thus, these debts can be paid off (if there are any) and you can have the house free and clear. Many Credit Card companies have been offering a Life Insurance that due to death your credit card is paid off up to a certain amount. Check with each credit card company your parents had. I suggest you seek legal counsel for this to be sure you don't end up owing the IRS anything. Good luck Marcy

If the loan is against that property I would think so.Is the sister mentioned on the will as a benificary of the estate.if she is then she may benefit.normally the estate is whats left after everything is paid including mortgages.

The deceased estate is responsible for repayment of debt, with secured debts taking priority. With the exeption of property which is ruled exempt to probate procedures, assets will not be distributed to named heirs until debts are satisfied.