The creditor can file claim against the estate to recover the debt amount.

Few years back, my wife tool out about $36,000 in education loans for our only daughter’s college and tuition expenses. She passed away last month and couldn’t repay the complete loan. I never applied for or signed any agreement to pay back the loan. I was completely out of the scenario. Am I responsible to repay the debt?

1 Answers
Votes: 
-1 vote
+
Vote up!
-
Vote down!

General law states, debt that exists at the time of the death of the debtor becomes debt of his/her estate. The creditor can file claim against the estate to recover the debt amount. However, if the estate’s value is not sufficient enough to pay the outstanding bills, the estate will be declared as bankrupt.

So if you were not a cosigner on the loan or didn’t have any kind of attachment, you or your assets are not responsible to pay for your wife’s debt.


Ask Question

Waterfall approach to debt free ™

Legal debt relief methodology that works based on your financial conditions. Learn more »

BBB-A--Rating