Question!!
#41
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Join Date: Mar 2010
Location: Mass.
Posts: 80
part II, I contacted my daughter the lawyer-the order in which bills get paid is set in statute of the state. First paid is the funeral, then the cost of probating the state, the IRS, and down the list to unsecured loans. Medicare and your mother's health insurance should cover hospital and doctor bills. You do not pay. If the estate runs out of money it is insolvent, so you need to follow the order of payment set up by the state. Anything in your mother's name may have to be sold to pay the bills. Life insurance is payable to either the estate to pay bills, or a survivor-your sister. That money your sister gets is for your sister not the estate. Plus you know there is no money, but IRS taxes will have to be done for your mother. So that will be settled after the first of the year. As long as nobody else's name is on your mother's accounts, you are not responsible. Bill collectors will not be happy and tell you it is your resonsibility, but it is not. It is not a legal or moral obligation on your part to pay the bills. Good luck!
#42
if a parent had to sign over property/ money for service I think the estate owes the payback. If you did not co sign anything they are your parents bill and no one can force you to cover them. if there was no agreement between provider and the parent they may have to sue the estate if you do not want to settle with them -
If a collection agent calls and tries to get you to pay, and tells you you owe, and you tell them you will pay you just bought the bill. (if you make an agreement over the phone to pay any amt and it wasnt yours to pay you have now agreed to pay)
before you say or sign anything with/ for anyone talk to a lawyer, each state has its own rules on this
also, if your name is on a credit card or mortgage make sure you have the clause in place that states the debt at the time one of the persons dies is cancelled and the survivor does not owe. when my husband died the mortgage was foregiven and also, a cc I was trying to pay off (he had the most owed on it) had that clause and I pd most of it before I found the pepers that said the debt was gone! of course, they did not give back what I pd on it!!
If a collection agent calls and tries to get you to pay, and tells you you owe, and you tell them you will pay you just bought the bill. (if you make an agreement over the phone to pay any amt and it wasnt yours to pay you have now agreed to pay)
before you say or sign anything with/ for anyone talk to a lawyer, each state has its own rules on this
also, if your name is on a credit card or mortgage make sure you have the clause in place that states the debt at the time one of the persons dies is cancelled and the survivor does not owe. when my husband died the mortgage was foregiven and also, a cc I was trying to pay off (he had the most owed on it) had that clause and I pd most of it before I found the pepers that said the debt was gone! of course, they did not give back what I pd on it!!
#43
This is where a will would come in handy. I am pretty sure the bills of the deceased will have to be paid from the estate. I do not know if the insurance is considered part of the estate. That is a lawyer question or maybe check it out with registar of wills in your county or Google it. Try Suze Orman's web site and see i8f you can answer there. Good luck. Take care.
Linda
P S a lot of credit card accounts have an insurance that covers the balance.
Linda
P S a lot of credit card accounts have an insurance that covers the balance.
#44
Originally Posted by quilterj
Originally Posted by serenitybygrace
My dad's will states that the bills would be paid first. Do you have a will? Do you have a lawyer? You may have to probate the will. A lot depends on the state you live in.
#45
Power Poster
Join Date: May 2008
Location: FL
Posts: 16,574
Yes, I can say this from personal experience. Just because you pass on, doesn't mean your bills will be forgiven. They still have to be paid. They don't care who pays them as long as they get paid.
When my mom passed 9 years ago the insurance company sent me a check and I paid her bills. I guess it depends on what state they live in, but that is what I did in FL.
When my mom passed 9 years ago the insurance company sent me a check and I paid her bills. I guess it depends on what state they live in, but that is what I did in FL.
#46
Super Member
Join Date: Mar 2010
Location: Elmira, NY
Posts: 6,113
Originally Posted by MellieKQuilter
My first guess is that they would have to be paid with any estate proceeds first...
If there are no funds from the estate.. I dont believe the next of kin is responsible for them.
If there are no funds from the estate.. I dont believe the next of kin is responsible for them.
#47
Super Member
Join Date: Aug 2010
Location: Portland, OR via Hawaii
Posts: 1,342
Good question. As some have mentioned, I think the estate would be responsible for paying those outstanding bills, which then means (at least in my way of thinking) that if I inherited the estate, I would have to pay them.
But I'm no lawyer...I do know that the beneficiaries have to pay the estate taxes (death tax) that comes when a parent dies and leaves things to heirs.
When my father died he had a number of small bills which I took upon myself to pay, not wanting to have his creditors end up thinking ill of my father - or his survivors.
But I'm no lawyer...I do know that the beneficiaries have to pay the estate taxes (death tax) that comes when a parent dies and leaves things to heirs.
When my father died he had a number of small bills which I took upon myself to pay, not wanting to have his creditors end up thinking ill of my father - or his survivors.
#48
Power Poster
Join Date: Feb 2011
Location: Lowell, MA
Posts: 14,083
Probate laws differ from state to state. I would suggest you contact a probate lawyer to find out what laws would apply as far as bills, etc., whether or not there was a will and so forth. I worked as a legal secretary and dealt a little bit with probate, but I wouldn't begin to advise you, except to get an experienced probate attorney.
#49
Senior Member
Join Date: Oct 2010
Location: WI
Posts: 706
It would be wise to seek real legal help. The hospital etc can file for payment from what is in the insuurance and estate. They can walk away with it all if you're not prepared. Be sure there you are aware of all forms she had to sign. A number of long term care and some hospitals are getting elderly to provide until death care at no fee or additional fees and the estate becomes theirs as the pay off. Tihs includes everything. A friend recently went though this and they couldn't even get their hands on family photos until the hospital racked them clean.
#50
Super Member
Join Date: Jul 2010
Location: Central Willamette Valley, Oregon, USA
Posts: 7,695
Originally Posted by dakotamaid
Tricky question, I'd go to a lawyer, if you don't want to do that sometimes the funeral home is a good source of information.
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