Jump to content
janiswhyme2

Deceased Persons Debts

style="text-align:center;"> Please note that this topic has not had any new posts for the last 1385 days.

If you are trying to post a different story then you should start your own new thread. Posting on this thread is likely to mean that you won't get the help and advice that you need.

If you are trying to post information which is relevant to the story in this thread then please flag it up to the site team and they will allow you to post.

Thank you

Recommended Posts

Hi there,

 

 

My sister's husband has just this week passed away leaving over £36,000 worth of credit card debt including £16,000 to MBNA. There is no estate and he has pretty much left her in a mess financially, with no savings and just debt after debt.

 

 

She is not a joint signatory and they were his credit card debts and nothing (apart from the fact she was married to him) links her to these. Will she have to pay them off (like she ever could) or do they die with him?

Share this post


Link to post
Share on other sites

they die with him as theres no estate.

 

 

dx


please don't hit Quote...just type we know what we said earlier..

 

if everyone stopped blindly paying DCA's tomorrow

the biggest financial industry in the UK, DCA;s would collapse overnight.

 

 

Share this post


Link to post
Share on other sites

please don't hit Quote...just type we know what we said earlier..

 

if everyone stopped blindly paying DCA's tomorrow

the biggest financial industry in the UK, DCA;s would collapse overnight.

 

 

Share this post


Link to post
Share on other sites

Hello there.

 

My OH dealt with two estates last year where there were borrowings in the husband's sole name. All the companies agreed to write off the debt.

 

HB


Illegitimi non carborundum

 

 

 

Share this post


Link to post
Share on other sites

In summary, they would only be liable if the debts were joint EG - If dual signed credit agreement etc.

Debts come out of the persons estate and if there is none then the debts dont get paid simple.

 

Check below for more info.

 

Pay in priority order

Once you have probate or grant of administration, you can use the money in the estate to pay off the debts that aren’t covered by insurance. Paying the debts first is more important than distributing the estate to the heirs.

 

You should pay off the debts in this order of importance:

 

Secured debts, such as the mortgage.

Reasonable funeral costs and the costs of administering the estate.

Unsecured debts, such as credit cards, utility bills, unpaid rent, Council Tax and other taxes, and repayment of overpaid benefits.

If there are assets, such as a car or a house that if sold, could go towards paying off the debts, it’s an option worth considering.

 

If there are more debts than the estate can pay back, this is called an ‘insolvent estate’. In this situation, it is best to seek the advice of a solicitor or a probate specialist.


 

We could do with some help from you.

 

Have we helped you ...?         Please Donate button to the Consumer Action Group

 

**Fko-Filee**

Receptaculum Ignis

 

Share this post


Link to post
Share on other sites
they die with him as theres no estate.

 

 

dx

 

 

In theory, debts when the person dies should no longer form part of his/ her estate (whatever remains from the dead person), however, it still could lead to claims again the estate. It's a lot of money, ie 36k so the creditor may try to claim it as a debt. However, as it's not joint debt (ie not joint and severally liable), any claim attempts are not likely to succeed. If there is a Will and the Executor (legal way of distributing estate) is appointed but he/ she has not placed in the London Gazette for any debtors to come forward, it 'could' lead to claims against any beneficiaries. This law is the Administration of Estates Act 1925

Share this post


Link to post
Share on other sites

If the debts have not been advertised in the London Gazette, although in theory they should die the creditor may try and claim the amount. This law comes from the Administration of Estates Act 1925. The fact the debts were in not in both names (joint and severally liable) should mean any claims should fail.

Share this post


Link to post
Share on other sites
If the debts have not been advertised in the London Gazette, although in theory they should die the creditor may try and claim the amount. This law comes from the Administration of Estates Act 1925. The fact the debts were in not in both names (joint and severally liable) should mean any claims should fail.

 

One does not "advertise the debts" in the London Gazette. The purpose of a Section 27 notice placed in the Gazette is to give unknown creditors opportunity to come forward and stake their claim. The notice serves to protect the personal representatives (often referred to as the executors) from being held liable for these unknown debts. The beneficiaries can still be pursued for these debts if there were money in the estate to cover them.

 

If the estate is insolvent, the general advice to to step away and avoid doing anything that could be deemed as intermeddling and leave the creditors to fight it out amongst themselves.


PLEASE HELP US TO KEEP THIS SITE RUNNING

EVERY POUND DONATED WILL HELP US TO KEEP HELPING OTHERS

 

 

Quote
No... you can't eat my brain just yet. I need it a little while longer.

Share this post


Link to post
Share on other sites

There are rules that specify in what order money is to be paid out. The priority is the funeral and as far as I am aware there is no limit on the cost. Next are administrators or executors legitimate expenses.

 

If this eats up all the money they can not get a bean.

 

When my wife died- we were long separated but still legally married - I just informed all creditors that there was no money. Not one queried it


Any opinion I give is from personal experience .

Share this post


Link to post
Share on other sites

  • Recently Browsing   0 Caggers

    No registered users viewing this page.


  • Have we helped you ...?


×
×
  • Create New...