Who is responsible for credit card debt if somebody dies? Or does the company guzzle it? Say somebody has X amount of credit card debt, then they die

Say somebody has X amount of credit card debt, then they die but still enjoy that debt to the credit card company outstanding, what happens? Does the company have to write it past its sell-by date as bad debt or ? Perhaps the company can hit up that person's estate. But let me pose another request for information then - what if that person's estate does not have satisfactory money to cover that credit card debt.

Answers: The person's estate has to stand good for what he owes.

If the estate doesn't hold enough, then the entire inheritance is sold, given to the credit card companies, and next the rest of the debts are cancelled (the credit card company has no choice but to write it off.)

Which is why, even if the personage has a perfect FICO evaluation, that the banks are taking some risk when loaning money. The estate. Surviving spouse have to pay, when my sister passed away in /dec 2006, and as you would expect he Dec payment wasn't made or her January when the credit card compay called we told him of her ratification and immediate sent the bill to the estate lawyer, and her husband have to pay off the credit contained by full. He wasn't even on her credit card account. Served him right.

Everyone who answered is partially right. I do credit card collections on departed people. First & foremost, the estate is the main responsible entity, IF one is file. Then it moves down to the spouse, ONLY IF IN A COMMUNITY PROPERTY STATE & then they can be held only equally responsible, as surrounded by 50/50 responsibility with the deceased. Yeah, that mechanism a $10,000 balance your mom had surrounded by California, your dad is only responsible for $5000 of it. Here is the good report. After that, unless you are a joint on the account, NO ONE ELSE IS RESPONSIBLE! We hold 100's of accounts a day we call around & the family doesn't care plenty to do anything for the debts of the deceased so we just convey back to the original creditor beside notice the family won't pay envelope on it. This is why everyone pays so much interest on their credit cards. It makes up for the money lost when families rebuff to honor the debts made by their deceased loved ones. We are actually prepared to work with anyone who wants to cause arrangements on the accounts people leave down and we are contracted on. Heck, the other day, I set up $20 a month payments on a $10,000 account. They claimed it be the best they could do but the person had taken concern of them so it was their moral responsibility, even though not a legal one.

After a person dies, the estate will liquidate("sell") all of that individual's property. Regardless of a will, creditors will other be paid first before any division of property pursuant to a will. If near isn't enough to pay adjectives the creditors some will just have to write past its sell-by date the difference as a loss.

I just have to post up to ask Biddix this.

You say you accepted a $20 a month pay-out on a $10,000 debt? What you didn't tell people here is that presently you've reset the statue of limitations for that debt and can come after that kind person for the full 10k right? Works purely like those $5 "good faith" payments you collection agents so similar to to use to do the same thing on debts that are long-gone the statue of limitations.

See kids, this is why we're here preaching that collection agents are evil and teaching you your rights and how to fight them.

Don't ever be a subject of their guilt trips or being "noble" and settling deceased loved ones debts. They own no idea what it means to be aristocrat.
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