Death and Debt

[Anne]

I've heard of such tactics before, but I had not experienced them until this year, and I wanted to alert you guys of your rights.

I had some family members die a few months ago, and they were very deeply in debt. *None of their accounts were joint accounts with the living. *None of their debts were created by anyone but themselves. *Nobody co-signed their loans or credit cards. *And they left no property behind. *(To the point where I will not recover even the funeral costs from the estates. *The estates are so insolvent that we aren't even bothering to probate.)

However, several family members have been getting calls from their creditors who initially try to act as if we are supposed to pay their bills. *When someone dies, unless you are (a) on the loan/card; (b) someone who got the property from the loan/card; (c) married to the person who died; or (d) the person administering the estate, which is an estate containing money, you have little or in most instances no obligation to pay off the debt of a dead relative. *You can't take the assets, but you don't have to pay their debt either.

Also, when you divorce, make sure your name is removed from every loan and joint account you used to have, or else you could end up being in one of the a-b categories above and get screwed. *

Anyway, we all suffer deaths in our families at times, and I hope this proves useful to someone here.

Edited for clarity.

[Buck]

I had some family members die a few months ago, and they were very deeply in debt. *None of their accounts were joint accounts with the living. *None of their debts were created by anyone but themselves. *Nobody co-signed their loans or credit cards. *And they left no property behind. *(To the point where I will not recover even the funeral costs from the estates. *The estates are so insolvent that we aren't even bothering to probate.)

However, several family members have been getting calls from their creditors who initially try to act as if we are supposed to pay their bills. * *



This also applies to the living. The people calling are a fairly new group
in the lending/credit system. These people buy up bad debt for pennies
on the dollar then set about trying to badger, shame,harass, or other trick
others into payment of a debt that is not theirs and has been written off
by the primary lender. It's legal loan sharking

The very best thing to do is DO NOT RESPOND to their phone calls or
letters at all!!! One word to them or any other response sets up what's
called a "legal relationship" that will make it impossible to stop their calls
or letter. If it gets to bad..get a lawyer.

What I say here I mean having been through it myself. I was hounded for
a debt that was caused by a man who I never heard of nor did I know him!!
That's how slimey these people are.......find a sucker then get him to pay.

[Anne]

This also applies to the living. The people calling are a fairly new group
in the lending/credit system. These people buy up bad debt for pennies
on the dollar then set about trying to badger, shame,harass, or other trick
others into payment of a debt that is not theirs and has been written off
by the primary lender. It's legal loan sharking

The very best thing to do is DO NOT RESPOND to their phone calls or
letters at all!!! One word to them or any other response sets up what's
called a "legal relationship" that will make it impossible to stop their calls
or letter. If it gets to bad..get a lawyer.

What I say here I mean having been through it myself. I was hounded for
a debt that was caused by a man who I never heard of nor did I know him!!
That's how slimey these people are.......find a sucker then get him to pay.


Yes, but it's kind of hard to know whether Chase (Chase has not done this, and I'm giving an example) is calling you to alert you of an unauthorized charge to your card, until you pick up the phone, and they are calling about Uncle Ernie's past due account. So easier said than done in not answering the phone.

As for it applying to the living, you are correct. We had gotten two calls about a different account while they were alive, and the second time, I threatened to sue them if they didn't stop calling me. Haven't heard a word from that creditor since.

[patriotchick]

your state probably has creditor/collection rules that these jokers are supposed to abide by. Report them to the AG office of your state. The collectors attempt to bully people who do not know their rights. This has happened to me in regards to my sister who has mental health issues and isnt always as good at paying debt as she ought to be, she always lists me as a contact.

[Anne]

They aren't violating any laws and are staying just the right side of them, but that is a good idea.

I'm a lawyer and will sue them for sport if they continue to play games or try to put something on my credit report, and I am happy to tell them that if they call twice.

[bee_pipes]

subsequent posts deleted to remove personal attacks and name calling

Pat

[Catalpa]

Pat, I don't know what name calling went on...though I have seen plenty of places where posts should have been deleted.

I wanted to respond to the opening topic.

We've had the same thing happen in our family; and a friend of mine has gone through it too, where credit companies and banks and whatnot attempt to intimidate survivors into paying bills and penalties. The greed and avarice of these people is astounding; the way they harass sorrowing folks should be criminal.

If you were not a co-signer, you have no responsiblity to pay these people anything! Get the names and numbers of the peple calling you and report them to their superiors; if that doesn't work, call the better business bureau and file a complaint. Depending on your state, you may have additional rights. Don't give up!

[Wyobuckaroo]

Howdy

Handling the closure of a relatives dealing after the pass can be a real headache. Depending on assets, debt, relatives, and rules you can end up in a bigger mess than you ever imagined. Know the things I've had to handle were much easier to handle with a little help.

When Uncle Benny was still alive it was a lot easier. He was a lawyer who would talk a language you could understand. At times it was kind of funny. You talk to him, he asks questions, then he would say "now go away and let me think a little" Sure enough he would come up with a solution.

Don't have ANY idea what the beef between Anne and whom ever was, but if Anne is for sure gone from the forum it could be big loss for all of us.

I get the feeling, from what little I've read, she seemed like minded to all of us here, and could have been a valuable source of information.

Always hate to see someone like that leave.

Wyo